The price of oil rose slightly, which was facilitated by the weakening of the US currency, as well as the continuing geopolitical risks surrounding the Middle East and Russia.
Meanwhile, concerns about weak demand in China remain in focus, which offsets the positive from the extension of OPEC+ supply cuts.
Investors also continued to assess the impact of Friday's US labor market data on the outlook for the Fed's monetary policy. According to the CME FedWatch Tool, markets see a 25.1% probability of a 25 basis point rate cut at the Fed meeting in May, and a 73.9% probability of a rate cut in June.
As for the situation in the Middle East, Hamas chief accused Israel of disrupting the ceasefire talks and rejecting Hamas' demand to end the war in Gaza, but said the group was still looking for a negotiated solution.
In addition, there are growing concerns among investors about the potential escalation of the conflict outside Ukraine. Moldova's president on Thursday signed a defense cooperation accord with France, saying Russia was renewing efforts to destabilize her country.
However, prices still remain in a tight trading range, and investors are preparing for the publication of US inflation data, which may affect the timing of the Fed's interest rate cut.
“We believe that the current price level is almost consistent with the current dynamics of supply and demand. Unless there is a significant shift in either side of the equation, such as an escalation of tensions in the Middle East, oil is likely to continue trading in a limited range," experts at Standard Chartered Plc said.
OPEC is scheduled to release its monthly market report on Tuesday, while the International Energy Agency will issue its corresponding outlook on Thursday. The US Energy Information Administration will also post its short-term energy outlook this week.