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London - Oil prices recovered on Tuesday thanks to a weaker dollar and after falling to two-month lows the previous session on supply glut concerns, traders said.
Around 13:30, Brent North Sea crude for delivery in September was up $1.43 at $47.68 a barrel compared with Monday's close.
US benchmark West Texas Intermediate for August delivery jumped $1.31 to $46.07 a barrel.
The dollar weakened slightly Tuesday after rallying on last Friday's strong US jobs data. That made commodities such as crude that are priced in dollars cheaper for holders of rival currencies.
OPEC meanwhile on Tuesday said it expected the global supply glut to ease further this year and next thanks to reductions in oil output from producers outside the cartel, particularly the United States.
If accurate, this will be a vindication of its Saudi-led strategy since 2014 of squeezing non-OPEC suppliers by keeping production at high levels despite low prices.
Traditionally OPEC has cut production to boost falling prices but in the current cycle - which saw oil prices tumble from more than $100 in 2014 to almost $25 in January - the cartel that pumps out about one-third of the world's crude has squeezed competitors by keeping the taps open.
It took some time - straining even Saudi Arabia's finances, to say nothing of on-the-brink OPEC member Venezuela - but prices earlier this year recovered to around $50.
Prices had retreated Monday on news that Tehran plans to double crude exports as long as the rise in shipments is absorbed by global markets.
Adding to supply glut concerns, Libya's state producer is seeking to reopen oil ports and restore output, according to its chairperson.
