Seoul — Oil prices rose more than 1% early on Monday on a weaker dollar, but another rise in US drilling activity stoked concern that a global supply glut will persist despite an Opec-led effort to curb output. Brent crude futures were up 50c, or 1.1%, at $46.04 a barrel at 2.15am GMT. US West Texas Intermediate (WTI) crude futures were up 44c, or 1.0%, at $43.45 a barrel. Analysts said oil prices extended gains as investors covered short positions, but there was little fundamental news supporting prices. "It is just the fact that the oil market stopped falling … I suspect short-covering," said Ric Spooner, chief market analyst at CMC Markets in Sydney. "And a slight support from a weak US dollar." The US dollar index stayed low on Monday against a basket of currencies amid fading expectations for the Federal Reserve to increase interest rates again later this year. A weaker dollar also makes oil cheaper for countries using other currencies. "Commodities stabilised after a turbulent...
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