Oil Prices Rise as U.S. Dollar Retreats

The West Texas Intermediate for September delivery added 2 U.S. dollars, or 2.1 percent, to settle at 96.70 dollars a barrel on the New York Mercantile Exchange. Brent crude for September delivery increased 1.95 dollars, or 1.9 percent, to close at 105.15 dollars a barrel on the London ICE Futures Exchange.

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The weaker U.S. dollar lent buoyancy to oil prices. The dollar index, which measures the greenback against six major peers, fell 0.23 percent to 106.4840 in late trading on Monday, notching a three-day losing streak. Historically, the price of oil is inversely related to the price of the U.S. dollar.
   
Meanwhile, traders continue to worry that aggressive central bank tightening would trigger a recession, hurting energy demand.
   
The U.S. Federal Reserve is widely expected to deliver another 75 basis points rate hike when concluding its two-day policy meeting Wednesday.
   
Last week, the U.S. crude standard edged up 0.1 percent, while Brent rose 2 percent, based on the front-month contracts.