FX.co ★ Oil Extends Gains As Dollar Dips On BoJ Policy Move

Oil prices rose on Tuesday to extend gains from the previous session after the U.S. announced a plan to buy up to 3 million barrels of oil for the Strategic Petroleum Reserve following this year's record release of 180 million barrels from the stockpile.

Benchmark Brent crude futures climbed 0.9 percent to $80.50 a barrel, while WTI crude futures were up 1.2 percent at $76.31.

A weaker dollar also buoyed prices while overall gains were limited by uncertainty over the impact of rising COVID-19 cases in China, the world's top oil importer.

After China relaxed certain COVID-related restrictions, a top infectious disease expert projected that more than 60 percent of the country's population is likely to be infected by the coronavirus in the next three months.

The dollar retreated after the Bank of Japan said it would review its yield curve control policy and widened its target band for interest rates - a move that analysts said would allow long-term interest rates to rise more.