Oil prices traded higher on Monday after the United States vowed to keep attacking Yemen's Houthis until the Iran-aligned group ends its assaults on shipping.

Brent futures rose 41 cents or 0.6%, to stand at $70.99 a barrel by 0336 GMT, while U.S. West Texas Intermediate crude futures rose 40 cents, or 0.6%, to $67.58 a barrel.

The U.S. airstrikes, which the Houthi-run health ministry said killed at least 53 people, are the biggest U.S. military operation in the Middle East since President Donald Trump took office in January.

One U.S. official told Reuters the campaign might run for weeks.

Houthi attacks on shipping in the Red Sea have disrupted global commerce and set off a costly campaign by the U.S. military to intercept missiles and drones.

Oil prices rose slightly last week, snapping a three-week losing streak fed by concern over a global economic slowdown driven by escalating trade tension between the U.S. and other nations.

Both benchmarks pared some gains after rising more than 1% in early Asian trade as China reported a mixed start to the year. Industrial output slowed in January-February, while retail sales growth accelerated slightly, government data showed on Monday.

The state council, or cabinet, unveiled what it called a "special action plan" on Sunday in a bid to boost domestic consumption and economic recovery amid a burst of U.S. trade tariffs against China, among key trading partners.

That effort has threatened to upset the global trade order.

Analysts at Goldman Sachs cut oil price forecasts, saying they expected the U.S. economy to grow slower than expected, due to the tariffs imposed on countries such as Canada, China and Mexico.

Source: Inveting.com