Oil rises over 3% after suspension of traffic in Suez Canal

Oil prices rose more than 3% as the US market opened on Friday, and rebounded from a 6-week low after taking a pause yesterday due to fears over the US oversupply, while today's rebound came after navigation in the Suez Canal was suspended, which raised concerns about the disruption of oil and gas supplies to Europe and North America for several weeks.

US crude rose 3.1% to $60.24 a barrel, after opening at $58.45, and hit a low at $58.35, and Brent crude rose 2.8% to $63.57 a barrel, after opening at $61.82, and hit a low of $61.82.

US crude lost 3.9% yesterday, after gaining 6% on Wednesday and rebounded from a 6-week low at $57.28, and Brent crude futures fell 3.7%, after rising by 6.2% within recovery from the lowest since February 9 at $60.30.

Yesterday's pause came due to fears over the US oversupply, after a build in after the increase in the US commercial crude inventories and oil production.

The Egyptian authorities have suspended navigation in the Suez Canal, one of the world's busiest and vital waterways for shipping crude oil, fuel, grains and other traded commodities between Asia and Europe.

The Suez Canal was blocked by a giant container ship, and blocked 10 giant oil tankers carrying more than 13 million barrels.

One of the international rescue companies said that the vessel may take weeks to refloat, which means that traffic will continue to be suspended and will disrupt oil and gas supplies to Europe and North America.