Crude oil futures rallied and settled on its highest since May, 2011 on Tuesday in reaction to the possibility of further actions by Iran to disrupt the oil supply while Greece reached on an agreement for the second trench of the bailout package. Most analysts termed the current situation as ideal for the crude oil. Analysts from Barclays commented, “A supportive macroeconomic backdrop, tight market fundamentals and escalating geopolitical pressures have created the perfect groundwork for higher oil prices.”

Crude oil futures for March delivery gained 2.5 percent or $2.60 to $105.84 per barrel on the New York Mercantile Exchange. The respective contract touched its intraday high of $106.07 per barrel.

Brent oil futures for April delivery also surged 1.3 percent or $1.61 to settle at $121.66 per barrel on the ICE Futures exchange in London.

Among other commodities, gasoline futures contract for March delivery jumped 1.8 percent or $0.05 to $3.07 per gallon while heating oil futures for the same month delivery advanced 1.6 percent or $0.05 to $3.24 per gallon.

Natural gas futures contract for March delivery fell 2.2 percent or $0.06 to settle at $2.63 per million British thermal units on NYMEX.