On Tuesday, oil prices rose to their peak point in far more than two years, boosted by predictions that demand will rebound quickly in the second half of 2021.

By 11:19 a.m., Brent crude had risen 77 cents or 1.1 % to $73.63 a barrel. During the day, the global benchmark reached $73.90 per barrel, its highest level since April 2019.

Oil in the United States increased 86 cents, or 1.2 %, to $71.74 per barrel. It reached a session high of $72.03 per barrel, the highest level since October 2018.

Oil prices are expected to range between $70-$80 per barrel this year, as per the CEO of trading company Vitol, as the Organization of Petroleum Exporting Countries and Allied Producers (Opec+) maintains supply discipline.

“We've seen too many stock draws for a couple of months, the market is moving in the correct direction,” Russell Hardy said at the FT Commodities Global Summit.

Tuesday's industry statistics are due at 4:30 p.m., followed by official statistics on Wednesday morning. Investors and traders are also monitoring the conclusion of a two-day US Federal Reserve meeting that begins on Tuesday for clues as to when the central bank will begin to reduce monetary support.

The Fed is preparing to discuss when and how to begin reducing a huge asset-purchase program that aided the US economy during the epidemic.

Stocks were slightly down in early trading on Tuesday as investors responded unfavorably to a report that showed inflation moving upward once again, as well as statistics showing Americans reduced their spending last month. As of 10:10 a.m. Eastern, the S&P 500 was down 0.2 %.  The Dow Jones Industrial Average fell 0.4% while the Nasdaq Composite fell 0.4%.

US retail sales fell more than predicted in May, with spending shifting back to services from goods as vaccinations enabled Americans to travel and participate in other activities formerly limited by the COVID-19 epidemic.

Other statistics released on Tuesday indicated an increase in producer prices last month as supply networks continued to struggle to satisfy demand triggered by the economy's restarting. In addition to vaccines, trillions of cash from the government and record-low loan rates are fueling demand.

According to the Commerce Department, retail sales decreased 1.3% last month. The data for April was revised upwards, showing that sales increased by 0.9% rather than remaining flat as initially reported. Retail sales were expected to fall 0.8%, according to economists surveyed by Reuters. Year on year, retail sales increased by 28.1%.