Crude oil prices snapped a three-session losing streak on Monday after a rally in U.S. gasoline and diesel due to a refinery outage helped crude futures advance from multi-month lows earlier in the session.
The dollar's drop to near session lows also made oil and other commodities denominated in the greenback more affordable to holders of the euro and other currencies.
Hedge funds and other big speculators raised their bullish exposure to U.S. crude for the first time in seven weeks, trade data on Friday showed, even as most traders and investors feared weaker demand and higher supplies ahead.
In Monday's session, gasoline futures jumped about 4 percent, heading for its largest daily gain in a month, after BP's 240,000 barrel per day crude distillation unit at its Whiting, Indiana, refinery, was shut by a malfunction on Saturday, sources familiar with operations at the plant said.
Futures of ultra low sulfur diesel also rose about 3 percent, rebounding from last week's six-year lows.