Oil costs up 3% to one-week excessive on hopes of upper summer season gasoline demand

Oil costs climbed about 3% to a one-week excessive on Monday, buoyed by hopes of rising gasoline demand this summer season regardless of a stronger U.S. greenback and expectations the U.S. Federal Reserve will depart rates of interest larger for longer.

The Fed hiked rates of interest aggressively in 2022 and 2023 to tame a surge in inflation. These larger charges have boosted borrowing prices for shoppers and companies, which may sluggish financial progress and scale back demand for oil.