Supply curbs by OPEC and its allies were helping to support crude futures. On Monday, Russia said it would speed up its output cuts this month. Also this week, OPEC sources said the group would likely extend its output cut pact, which have helped boost oil prices by more than 20 percent higher this year.
"That's what holding prices, and that will ultimately drive prices higher," Streible said.
To prop up the market, the alliance known as OPEC+ has been cutting output by 1.2 million barrels bpd since the start of the year. OPEC+ is likely to achieve its goal of draining oversupply from the market by next month, Jeff Currie, global head of commodities research at Goldman Sachs, told CNBC on Monday.
The actual cut has exceeded the pledged amount because of U.S. sanctions on Iran and Venezuela, plus unrest in Libya that had prompted the closure of El Sharara, giving additional tailwind to prices.
Putting a dampener on the market was the restart of Libya's El Sharara oilfield, where the aim is to reach initial output of 80,000 barrels per day. The field had been closed since December.
"This will increase the oil production of Libya, and thus of OPEC, by more than 300,000 barrels per day," said Commerzbank in a report. "The oil market will then be slightly oversupplied again unless production is cut further or unscheduled outages occur elsewhere."