Brent holds above two-week trough as dollar loses ground

International benchmark Brent rose in American trade on Monday, holding above two-week lows as the dollar lost ground.

Prices are under pressure from renewed concerns about global demand due to prospects of global central banks maintaining high interest rates for an extended duration this year.

Prices 

Brent rose 0.4% to $81.95 a barrel, with a February 15 low at $81.03. 

Brent lost 2.1% on Friday, the first loss in three days on profit-taking off three-week highs at $83.92. 

The Dollar

The dollar index fell 0.2% on Monday, resuming losses near three-week lows against a basket of major rivals.

The decline comes as traders favor the pound and euro following bullish remarks for ECB and Bank of England officials. 

A weaker dollar underpins greenback-denominated commodities as they become cheaper to holders of other currencies. 

Global Demand 

It’s likely that central banks in the US, UK, and Europe will maintain rates at historic highs for many more months, which could hurt growth and weaken fuel demand, which bodes negatively for oil prices.