2017.09.2602:14:00UTC+00Oil Continues Rally as Turkey Threatens to Block Crude Flow

Oil prices continued to gain on Tuesday, with the international benchmark reaching a multi-year high, propped up by Turkey's threat to stop crude flow from Iraq's Kurdistan region to the outside world.

London Brent crude futures rose by 46 cents at $59.48 per barrel after advancing 3.8 percent on Monday. Earlier in the session, the contract hit $59.49, its highest since July 2015.

U.S. crude futures edged up by 15 cents at $52.37 after reaching $52.43 per barrel, a five-month high.

The spread between Brent and WTI futures widened to $7.17, its steepest since August 2015.

Brent's significant rally meant it continued to rise for the fifth consecutive day, surging from just a little over $55 per barrel a week ago, as OPEC and non-OPEC crude producers affirmed that the market was on its path toward rebalancing, while outlook for demand looked strong.

Another factor powering the rise in the commodity was Turkish President Tayyip Erdogan's threat to cut off the pipeline that carries from Iraq to the world.