2021.01.2519:19:00UTC+00Oil Futures Close Higher

Crude oil futures settled higher on Monday amid expectations of a drop in crude supplies.

Reports saying oil exports have been halted at some Libyan ports following a dispute over wages, and Iran's reported plan to cut crude output supported oil prices.

Concerns about outlook for energy demand due to rising coronavirus cases and tighter lockdown measures in several places across the globe capped oil's upside.

West Texas Intermediate Crude oil futures for March ended up $0.50 or about 1% at $52.77 a barrel.

Brent crude oil futures were up $0.40 at $55.65 a barrel a little while ago.

Amid bitter political differences, lawmakers in Washington are getting to work on the $1.9-trillion stimulus proposal from the new president.

There are expectations that there will be some additional spending to materialize eventually that will help lift global economic growth.

Meanwhile, market participants remain hopeful that Fed Chair Jerome Powell will provide reassurance after Wednesday's policy meeting that $120 billion of monthly bond purchases won't be tapered any time soon.

Reports that OPEC and allies' compliance with regard to output curbs, and news about Indonesia seizing an Iranian-flagged tanker over suspected illegal fuel transfers contributed as well to oil's uptick.