Oil prices traded higher on Monday, extending gains for the third consecutive week supported by the prospect of better fuel demand.
Brent crude futures strengthened around its highest level since May 2019, at $ 73.16 a barrel, while US WTI trading traded stronger at its highest level since October 2018 at $ 71.31 a barrel.
The outlook for global fuel demand is on the rise as several major economies have shown a stronger recovery, with aviation transport back in operation after more restrictions were lifted.
In its latest monthly oil report, the International Energy Agency (IEA) has asked OPEC+ to increase production to address the issue of higher demand in 2022.
Based on current global economic growth expectations, the agency claims that fuel demand will reach pre-Covid levels next year.
OPEC+ has withheld production to support oil prices following a recovery in the market following a drastic fall in demand in 2020 as a result of Covid-19.
