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Crude Oil Prices Rebound amid Middle-East Tensions

Crude oil bounced higher on Tuesday, as Middle-East tensions sparked concerns over potantial supply disruptions, although rising U.S. output levels continued to weigh.

The U.S. West Texas Intermediate crude April contract was up 67 cents or about 1.05% at $67.28 a barrel by 04:30 a.m. ET (08:30 GMT), the highest since March 6.

Elsewhere, Brent oil for May delivery on the ICE Futures Exchange in London gained 53 cents or about 0.80% to $66.58 a barrel, the highest since February 28.

Oil prices were supported by news the U.S. could reimpose sanctions on Iran, while fresh tensions between Saudi Arabia and Iran sparked fears of supply disruptions in the region.

But gains were expected to remain capped ahead of the American Petroleum Institute’s weekly report on U.S. oil supplies, due later Tuesday.

The U.S. Energy Information Agency is set to release its weekly data on oil and gasoline stockpiles on Wednesday.

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