WTI extends rally into sixth straight day, trades above $57.50

• Crude oil prices continue to push higher on Monday.
• WTI trades at its highest level in more than a year above $57.
• Fallin oil inventories and upbeat demand outlook fuel oil's rally.

After closing in the positive territory every day last week, crude oil prices continue to push higher on Monday with the barrel of West Texas Intermediate (WTI) touching its highest level in more than a year at $57.65. As of writing, the WYI was up 1.05% on a daily basis at $57.55.

Demand dynamics drive crude oil prices

Falling crude stocks in the US and heightened optimism for a steady recovery in global energy demand amid falling coronavirus infection figures continue to provide a boost to oil prices. Additionally, investors remain hopeful about a large fiscal stimulus in the US, which is likely to ramp up oil consumption.

Meanwhile, OPEC+ continues to preserve its near-100% compliance with oil output cuts, allowing prices to edge higher.

Later in the week, the API's and the EIA's weekly crude oil stocks figures from the US will be looked upon for fresh impetus. Moreover, investors will keep a close eye on political developments surrounding COVID-19 aid bill in the US.

Technical levels to watch for