Crude oil rose on Tuesday amid speculation the U.S. Federal Reserve meeting will result in a reduction of interest rates to fuel economic growth.
Oil's price climbed as market investors and economists forecast the Fed will reduce interest rates by 0.50 percent at the end of its two day meeting tomorrow in Washington. Earlier, crude gained as much as 95 cents to $91.94 a barrel.
U.S. crude for March delivery gained 0.61 cents or 0.67 percent to $91.60 a barrel at 2:37 p.m. on the New York Mercantile Exchange. Brent Crude on London's ICE Futures Exchange rose 0.77 cents or 0.84 percent to $92.50 a barrel.
Last week the Federal Reserve reduced interest rates three quarters of a percentage point in an emergency move to hedge an economic slowdown in worldwide markets.
However, the crude market may take a new direction on Friday after the Organization of Petroleum Exporting Countries resolves whether to increase or maintain current oil supplies.
Several reports declare it is unlikely that OPEC will boost output, although some nations have requested this with the purpose of helping lower oil prices.
OPEC members are responsible for 40 percent of global supplies of oil and currently produce 29.67 million barrels every day.
Tomorrow U.S. fuel weekly inventory data will be released at 10:30 a.m. A Bloomberg survey predicted results will show oil supplies rose on the week ended January 25.