Oil prices rose about 2 per cent on Monday as markets tightened ahead of Washington's new sanctions against Iran, with some traders forecasting a spike in crude to $100 per barrel.

<a href="http://www.wionews.com/world/iran-urges-opec-rebuff-threats-trump-167284">Also Read:&nbsp;Iran urges OPEC to rebuff 'threats' from Trump</a>

Brent crude futures jumped to the highest level since May at $80.43 per barrel, and were up $1.57, or 2 per cent, at $80.37 per barrel at 0642 GMT.

US West Texas Intermediate (WTI) crude futures rose $1.28, or 1.8 per cent, to $72.06 a barrel.

Amid a tightening market, US commercial crude oil inventories are at their lowest level since early 2015. And while output remains around the record of 11 million barrels per day (bpd), recent subdued US drilling activity points towards a slowdown.

Commodity merchants Trafigura and Mercuria said on Monday that Brent could rise to $90 per barrel by Christmas and pass $100 in early 2019 as markets tighten once US sanctions against Iran are implemented from November.

J.P. Morgan expects sanctions could lead to a loss of 1.5 million bpd, while Mercuria warned that as much as 2 million bpd could be knocked out of the market.

The Middle East dominated Organization of the Petroleum Exporting Countries (OPEC), as well as top producer Russia, are discussing raising output to counter falling supply from Iran, although no decision has been made public yet.

"We expect that those OPEC countries with available spare capacity, led by Saudi Arabia, will increase output but not completely offset the drop in Iranian barrels," said Edward Bell, commodity analyst at Emirates NBD bank.

J.P. Morgan said in its latest market outlook, published on Friday, that "a spike to $90 per barrel is likely" for oil prices in the coming months due to the Iran sanctions.

The bank said it expects Brent and WTI to average $85 and $76 per barrel, respectively, over the next six months.

Struggling with high feedstock crude prices and record lows for the rupee against the dollar, Indian refiners are preparing to cut back crude imports and instead use up commercial inventories.

Oil prices rose about 2 per cent on Monday as markets tightened ahead of Washington's new sanctions against Iran, with some traders forecasting a spike in crude to $100 per barrel.

Oil prices rose about 2 per cent on Monday as markets tightened ahead of Washington's new sanctions against Iran, with some traders forecasting a spike in crude to $100 per barrel. Also Read: Iran urges OPEC to rebuff 'threats' from Trump Brent crude futures jumped to the highest level since May at $80.43 per barrel, and were up $1.57, or 2 per cent, at $80.37 per barrel at 0642 GMT. US West Texas Intermediate (WTI) crude futures rose $1.28, or 1.8 per cent, to $72.06 a barrel. Amid a tightening market, US commercial crude oil inventories are at their lowest level since early 2015. And while output remains around the record of 11 million barrels per day (bpd), recent subdued US drilling activity points towards a slowdown. Commodity merchants Trafigura and Mercuria said on Monday that Brent could rise to $90 per barrel by Christmas and pass $100 in early 2019 as markets tighten once US sanctions against Iran are implemented from November. J.P. Morgan expects sanctions could lead to a loss of 1.5 million bpd, while Mercuria warned that as much as 2 million bpd could be knocked out of the market. The Middle East dominated Organization of the Petroleum Exporting Countries (OPEC), as well as top producer Russia, are discussing raising output to counter falling supply from Iran, although no decision has been made public yet. "We expect that those OPEC countries with available spare capacity, led by Saudi Arabia, will increase output but not completely offset the drop in Iranian barrels," said Edward Bell, commodity analyst at Emirates NBD bank. J.P. Morgan said in its latest market outlook, published on Friday, that "a spike to $90 per barrel is likely" for oil prices in the coming months due to the Iran sanctions. The bank said it expects Brent and WTI to average $85 and $76 per barrel, respectively, over the next six months. Struggling with high feedstock crude prices and record lows for the rupee against the dollar, Indian refiners are preparing to cut back crude imports and instead use up commercial inventories.

Ahead of Iran sanctions, crude oil prices jump

Oil&nbspprices rose on Thursday, supported by an expectation that the United States will re-impose sanctions against Iran, a decline in output in Venezuela and ongoing strong demand.

Brent crude&nbspoil&nbspfutures were at 74.42 per barrel at 0135 GMT, up 42 cents, or 0.6 percent, from their last close.

US&nbspWest Texas Intermediate (WTI) crude futures were up 33 cents, or 0.5 percent, at $68.38 per barrel.

Traders said markets rose on expectations that the United States will in May re-impose sanctions against Iran, a major&nbspoil&nbspproducer and member of the Organization of the Petroleum Exporting Countries (OPEC).

French President Emmanuel Macron said on Wednesday during a state visit to the United States that he expected Trump to pull out of a deal with Iran reached in 2015, in which Iran suspended its nuclear programme in return for western powers lifting crippling sanctions.

US&nbspPresident Donald Trump will decide by May 12 whether to restore U.S. sanctions on Tehran, which would likely result in a reduction of its&nbspoil&nbspexports.

Further pushing&nbspoil&nbspprices has been declining output in Venezuela, OPEC's biggest producer in Latin America.

Venezuela's crude production has fallen from almost 2.5 million barrels per day (bpd) in early 2016 to around 1.5 million bpd due to political and economic turmoil.

US&nbspoil&nbspmajor Chevron Corp has evacuated executives from Venezuela after two of its workers were imprisoned over a contract dispute with state-owned&nbspoil&nbspcompany PDVSA.

Venezuela's plunging output and looming US&nbspsanctions against Iran come against a backdrop of strong demand, especially in Asia, the world's biggest&nbspoil&nbspconsuming region.

However, not all market indicators point towards tighter supplies.

US&nbspcrude&nbspoil&nbspinventories rose by 2.2 million barrels in the week to April 20, to 429.74 million barrels. That's almost 10 million barrels above the five-year average.

US&nbspcrude production rose by 46,000 barrels per day (bpd) on the previous week, to 10.59 bpd. That's an increase of more than a quarter since mid-2016.

American crude&nbspoil&nbspoutput has overtaken that of top exporter Saudi Arabia. Only Russia currently produces more, at around 11 million bpd.

With U.S. output surging, some analysts warn that the 20-percent climb in Brent prices since February is starting to look overdone.

"The market does look a little&nbsptoppish," said Greg McKenna,&nbspchief&nbspmarket strategist at futures brokerage AxiTrader.

Brent crude oil futures were at 74.42 per barrel at 0135 GMT, up 42 cents, or 0.6 percent, from their last close.

Oil&nbspprices rose on Thursday, supported by an expectation that the United States will re-impose sanctions against Iran, a decline in output in Venezuela and ongoing strong demand. Brent crude&nbspoil&nbspfutures were at 74.42 per barrel at 0135 GMT, up 42 cents, or 0.6 percent, from their last close. US&nbspWest Texas Intermediate (WTI) crude futures were up 33 cents, or 0.5 percent, at $68.38 per barrel. Traders said markets rose on expectations that the United States will in May re-impose sanctions against Iran, a major&nbspoil&nbspproducer and member of the Organization of the Petroleum Exporting Countries (OPEC). French President Emmanuel Macron said on Wednesday during a state visit to the United States that he expected Trump to pull out of a deal with Iran reached in 2015, in which Iran suspended its nuclear programme in return for western powers lifting crippling sanctions. US&nbspPresident Donald Trump will decide by May 12 whether to restore U.S. sanctions on Tehran, which would likely result in a reduction of its&nbspoil&nbspexports. Further pushing&nbspoil&nbspprices has been declining output in Venezuela, OPEC's biggest producer in Latin America. Venezuela's crude production has fallen from almost 2.5 million barrels per day (bpd) in early 2016 to around 1.5 million bpd due to political and economic turmoil. US&nbspoil&nbspmajor Chevron Corp has evacuated executives from Venezuela after two of its workers were imprisoned over a contract dispute with state-owned&nbspoil&nbspcompany PDVSA. Venezuela's plunging output and looming US&nbspsanctions against Iran come against a backdrop of strong demand, especially in Asia, the world's biggest&nbspoil&nbspconsuming region. However, not all market indicators point towards tighter supplies. US&nbspcrude&nbspoil&nbspinventories rose by 2.2 million barrels in the week to April 20, to 429.74 million barrels. That's almost 10 million barrels above the five-year average. US&nbspcrude production rose by 46,000 barrels per day (bpd) on the previous week, to 10.59 bpd. That's an increase of more than a quarter since mid-2016. American crude&nbspoil&nbspoutput has overtaken that of top exporter Saudi Arabia. Only Russia currently produces more, at around 11 million bpd. With U.S. output surging, some analysts warn that the 20-percent climb in Brent prices since February is starting to look overdone. "The market does look a little&nbsptoppish," said Greg McKenna,&nbspchief&nbspmarket strategist at futures brokerage AxiTrader.

Oil prices rise on Iran sanctions worries, falling Venezuelan output

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Ahead of Iran sanctions, crude oil prices jump

Oil prices rise on Iran sanctions worries, falling Venezuelan output