Investing.com - Crude oil futures rose for the fourth consecutive session on Tuesday, with prices continuing to recover from recent lows as some investors bet that a bottom had been reached after a seven-month long rout.
On the New York Mercantile Exchange, crude oil for delivery in April rose 49 cents, or 0.91%, to trade at $54.16 a barrel during European morning hours.
On Monday, New York-traded oil futures tacked on 24 cents, or 0.45%, to settle at $53.91 amid indications U.S. producers are pulling back on new production in response to low prices.
Industry research group Baker Hughes (NYSE:BHI) said that the number of rigs drilling for oil in the U.S. fell by 84 last week to 1,056, the lowest since August 2011.
The number of oil rigs has declined in 15 of the last 18 weeks since hitting an all-time high of 1,609 in mid-October, a clear sign of the pressure that tumbling prices have put on oil producers.
New York-traded oil futures are up almost 16% over the past three weeks, however, prices are still down approximately 50% from a recent peak of $107.50 hit in June.
Elsewhere, on the ICE Futures Exchange in London, Brent oil for April delivery tacked on 57 cents, or 0.94%, to trade at $61.98 a barrel, after rising to a session high of $62.57, the strongest level since December 22.
The April Brent contract dipped 12 cents, or 0.2%, on Monday to close at $61.40 a barrel.
London-traded Brent prices have sky-rocketed nearly 22% over the past three weeks. However, prices are still down approximately 45% since June, when futures climbed near $116.
Oil prices have fallen sharply in recent months as the Organization of Petroleum Exporting Countries resisted calls to cut output, while the U.S. pumped at the fastest pace in more than three decades, creating a glut in global supplies.
Meanwhile, market sentiment remained subdued after talks between Greece and euro zone finance ministers broke down on Monday, fuelling concerns over the country's future in the single currency region.
Greece’s current €240 billion bailout is due to expire at the end of the month and the new Greek government does not want it extended. Athens rejected a proposed six-month extension of the bailout on Monday, calling it "unacceptable".
Athens has until Friday to request an extension otherwise its bailout will expire on February 28 and the country will run out of money.
The clash between Greece and its creditors has sparked fears that it could trigger the country’s exit from the euro zone.