Oil rises to two-month high on summer demand outlook and supply fears

Oil prices extended gains to two-month highs on Tuesday on expectations of rising demand during the summer driving season and possible supply disruptions from Hurricane Beryl.

Brent crude futures rose 70 cents, or 0.81 per cent, to $87.30 a barrel by 1035 GMT, their highest since April 30. US West Texas Intermediate (WTI) crude was up 68 cents, or 0.82 per cent, at $84.06 after touching its highest since April 26.

Both benchmarks gained about 2 per cent in the previous session.