WTI broke above the $75 mark, but traders remained cautious

After falling 8 percent last week, crude prices rose more than 1.
7 percent around noon on Monday.

Last week's drop in oil prices was one of the biggest since 2016

A weaker dollar and expected increased demand from Asian refineries are the main bullish drivers for crude oil today

Crude oil prices rose more than 1.
7% at midday on Monday after falling 8% last week, driven by the reopening of Asia and a weaker dollar
, according to Oil Price Network on January 9.

West Texas Intermediate (WTI) was trading 1.
84 percent as of 1:31 p.
m.
ET on Monday, breaching the $75/b mark, while Brent was trading up 1.
55 percent near the $80 mark
.

The news of the reopening of Asian markets was a key driver of recession fears, which attracted all the attention
last week.
The Fed's less hawkish sentiment, combined with a weaker dollar, also pushed oil prices
.

The U.
S.
dollar index fell 0.
82%
on Monday.

The gains were not as high as one would expect for the reopening, and did not appear to be driving its quick reversal of the 8 percent gains it had thrown before, as traders remained cautious about what's next for the recovery
.

Trader optimism was somewhat dampened by the latest manufacturing data, which showed activity fell
for the third straight month in December.
Other signs of a difficult recovery include emerging labor shortages and supply chain disruptions
.

Last week's drop in oil prices was one of
the biggest since 2016.

Oil prices recovered on Monday also as the U.
S.
Department of Energy (DoE) is trying to entice producers to sell oil at favorable prices — preferably $70 a barrel — to refill the Strategic Petroleum Reserve (SPR
).
On Friday, it was reported that the Department of Energy had rejected the first bids
.
If oil prices continue to climb, it will be increasingly difficult to refill the Strategic Petroleum Reserve, which has reached its lowest level
since 1984.