Oil is getting a boost from a positive spin on U.S.-China trade talks and reports of a new drone attack on a Saudi oilfield. But the bigger factor for the week could be what transpires at the Kansas City Fed's annual gathering in Jackson Hole, Wyo.
New York-traded West Texas Intermediate crude settled up $1.23, or 2.2%, at $56.13 per barrel.
London-traded Brent crude gained $1.01, or 1.7%. But the benchmark for oil outside of the U.S. remained below the key $60 per barrel mark, settling at $59.65
Crude benefited from a broad-based rally in risk assets after a weekend of mostly upbeat talk from the U.S. administration about trade. White House economic adviser Larry Kudlow said recent conversations between both sides had been “positive” and teleconferences would continue for a week to 10 days.