Oil prices rose more than $1 on Wednesday thanks to tight supplies and the prospect of increased demand as the U.S. summer auto season approaches. Global crude supplies continue to decline as buyers shun oil from Russia amid sanctions imposed after its invasion of Ukraine.

This was reported by Reuters.

July Brent crude futures rose 1.2 percent to $114.94 a barrel. WTI crude futures rose 1.2 percent to $111.12 a barrel.

France's new foreign minister said Tuesday that she was optimistic that those still opposed to the European Union's new sanctions package, which calls for a phase-out of Russian oil imports, could be persuaded and that the bloc would reach an agreement.

"Given the current U.S. and U.K. bans on Russian oil imports and the reluctance of oil companies to buy even without formal legal hurdles, the self-sanctions are still causing a supply shortage," said SPI Asset Management managing partner Stephen Innes.

Keeping pressure on Russian supplies, a Joe Biden administration official traveled to India on Tuesday to talk to officials and private sector executives about U.S. sanctions on Russia, the Treasury Department said. Washington is seeking to prevent India from increasing its purchases of Russian oil.

The crude oil supply situation is worsening as Memorial Day weekend travel in the U.S. is expected to be the busiest in two years, leading to increased demand for fuel as more drivers plan to hit the road and get rid of restrictions related to the pandemic coronavirus, despite high fuel prices.

Recall that European Commission President Ursula von der Leyen announced an agreement to ban Russian oil imports to Europe in the coming weeks.