Crude oil prices went up at trade opening on Wednesday with optimism that the $2 trillion aid package to stimulate the American economy would increase crude demand.
International benchmark Brent oil prices crawled to $27.85 per barrel at 0615 GMT for a 2.57% increase after closing Tuesday at $27.15 a barrel.
American benchmark West Texas Intermediate exchanged at $24.86 a barrel at the same time for a 3.54% gain after ending the previous session at $24.01 per barrel.
The prices inched up as hopes were raised after White House and the U.S. Senate leaders reached a deal late Tuesday on a $2trillion stimulus bill to mitigate the adverse effects of coronavirus on the economy.
While the bill failed to pass the Senate on Monday.
If it sails through the Senate on Wednesday, the bill is expected to give a major boost to the American economy.
There are expectations that the stimulus package would increase crude oil demand in the U.S., and push crude prices higher.
It is also expected to save the world’s largest economy the risk of a recession,
Last week oil prices hit their lowest levels in around 17 years as the coronavirus pandemic continues to weaken global oil demand.
Saudi Arabia and Russia are also due to increase their crude oil production from the beginning of April.