Crude oil has been on a firm trend after the recent downturn due to demand concerns: Reuters

Singapore, 28th, Reuters

There are lingering concerns over potential supply reductions from the Middle East and North Africa, as well as global fuel demand concerns. In the midst of this, crude oil saw a slight price movement after ending a three-day streak of gains due to a sharp drop in the morning session.

Brent crude futures stood at $79.63 per barrel, up 8 cents at 0653GMT. US West Texas Intermediate crude oil futures rose 7 cents to $75.60.

Amidst the release of data indicating that global consumption growth is falling below expectations, concerns over declining refinery profitability have weighed heavily on fuel demand.

Last week, the decrease in US oil and fuel inventories supported prices. However, the potential loss of Libyan oil production and the possibility of the Israel-Gaza conflict expanding to involve militants supported by Iran from Hezbollah in Lebanon, remain the biggest risks for the oil market.

"Geopolitical risks continue to overshadow the market."

Amidst the power struggle between government factions over control of the central bank and oil revenue in Libya, several oil fields across the country have stopped production and closures are spreading. This conflict puts daily production of about 1.2 million barrels at risk.

The Tripoli government and the state-owned National Oil Corporation (NOC) have yet to confirm the closures.

However, engineers from the Amal and Nafoora oil fields in the southeast have confirmed that production has stopped, and engineers from the Abu Attifel field in the east have stated that production has decreased.

In the Middle East, fighting between Israel and Hamas armed forces continues in the Gaza Strip, with Palestinians taking refuge. Over the weekend, Israel and Hezbollah exchanged rocket and missile fire across the Lebanon border.

The weekly petroleum storage volume will be announced by the U.S. Energy Information Administration (EIA) on Wednesday after this.