Oil inched higher on tighter supply outlook, reports on improving demand

Crude oil prices rose on Monday, 22 May 2023 as investors drew attention to the latest report from the International Energy Agency (IEA) which pointed out a possibility of a supply shortage by 2 million barrels toward the end of the year. Adding to the supply concerns are the reduced production outputs in Canada and the voluntary production cuts by OPEC+. However, the increases were capped by the stronger US dollar.

Brent crude for July delivery settled up 41 cents or 0.5% to conclude at $75.99/barrel.

West Texas Intermediate climbed 36 cents or 0.5%, at $72.05/barrel.