Oil rises on supply concerns and hopes for increased Chinese demand

Oil prices rose on Tuesday after industry executives cited concerns about a lack of spare capacity in the market and uncertainty about Russian supplies as demand recovers from China, the largest importer of crude.

Brent crude futures were up 40 cents, or 0.5%, at $86.58 a barrel by 0154 GMT, after settling 0.4% higher on Monday.

US West Texas Intermediate crude was $80.76 a barrel, up 30 cents, or 0.4 percent, after rising 1 percent in the previous session.

Brent prices are set to rise for the sixth consecutive session, the longest period of gains since May 2022, supported by hopes for demand recovery in China and with the increase in new refining capacity in Asia and the Middle East, and more crude being refined.

Chevron Chief Executive Mike Wirth said ships carrying Russian crude and products now have to sail longer distances to reach non-sanctioned markets while oil stocks and supplies are limited, leaving the global market vulnerable to any unexpected supply disruption.