Oil Prices Rebound on Middle East Tensions, Strong US Data, and Libyan Supply Cut

Oil prices rose by over 1% on Tuesday, recovering from a previous decline, due to several factors. Concerns about potential supply disruptions in the Middle East arose from escalating tensions and the risk of wider conflict. Positive U.S. economic data, showing growth in the service sector, also contributed to the price increase. Additionally, production cuts at a major Libyan oilfield and a general upswing in Asian markets further supported the price rebound. Despite this, some analysts remain cautious, suggesting stronger evidence of global demand is needed to solidify market confidence.