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Oil futures rally as dollar takes a knock

Published 2016-06-06, 09:30 a/m
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Investing.com - Oil futures were higher early Monday as the dollar fell due to fading hopes for a Fed rate hike this month.

U.S. crude futures were up 52 cents, or 1.07%. at $49.14 a barrel at 0645ET, while Brent crude gained 1.03% to $50.15 a barrel.

However, gains in oil futures were capped by plentiful supply, with Iran looking to quickly recoup its pre-sanction market share.

Hopes for a U.S. Fed hike were dampened by the latest U.S. nonfarm payroll data, which showed the smallest increase in jobs since September 2010. A weak dollar underpins demand for oil.

U.S. Fed Chief Janet Yellen is due to speak later Monday

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