Oil prices climbed to their highest since late 2014! U.S. Oil prices surge past $70, dollar hits fresh 2018 high. The dollar rose to fresh 2018 highs on Monday while oil prices climbed to their highest since late 2014, driven by declining Venezuelan crude production and worries United States re-impose sanctions on Iran.

crude surge lifted energy stocks in Europe and on Wall Street. With European shares supported by strong results. And gains in Nestle after Swiss company agreed to pay $7.15 billion to Starbucks in a alliance.

euro broke below $1.19 for first time this year. On weaker-than-expected German industrial orders and declining eurozone investor sentiment.

Investors increased bets that rising U.S. interest rates would continue to boost dollar. While traders unwound their bearish positions on greenback.

An index that tracks dollar against a basket of leading currencies climbed to 92.974. It’s highest since December. index was last up 0.23 percent at 92.782.

general view right now is that dollar is probably going to continue to move a bit higher. Against euro, in particular, maybe against the yen as well,” said Larry Hatheway, chief economist at GAM Investment Solutions.

euro slip to $1.1750 or even $1.15 as a support level as Federal Reserve tightens monetary policy. And European economy trends weaker, he said.

“There’s a general appreciation Fed is going to move at least twice again this year. And consensus is shifting toward three more moves this year.”

euro fell 0.3 percent to $1.1922, while Japanese yen slipped 0.04 percent to 109.07 per dollar.

Venezuelan Oil prices exports came under threat after U.S. Oil prices major ConocoPhillips moved to take Caribbean assets of state-run PDVSA to enforce a $2 billion arbitration award, three sources told Reuters.

move further crimp PDVSA’s declining oil output and exports.

Widespread expectations that President Donald Trump will withdraw United States from Iranian nuclear pact also weighed on crude prices.

U.S. crude rose $1.01 to settle at $70.73 a barrel, breaking above the $70 mark for first time since November 2014, while Brent gained $1.30 to settle at $76.17.

Nestle rose 1.6 percent after it gained rights to market Starbucks products around world outside of U.S. company’s shops.

Nestle was biggest contributor to 0.59 percent advance in pan-European FTSEurofirst 300 index of leading regional shares. Oil giants Royal Dutch Shell and Total were the fourth- and seventh-biggest contributors, respectively.

On Wall Street, S&P energy index was biggest gainer among 11 major sectors during much of the session but faded by the close, ending up 0.18 percent.

Trump tweeted that on Tuesday he would announce his decision on whether to withdraw from Iran nuclear deal.

“Oil has done well in anticipation of announcement from Trump. People are braced for worst,” said Keith Lerner, chief market strategist at SunTrust Advisory Services in Atlanta.

Dow Jones Industrial Average closed up 94.81 points, or 0.39 percent, at 24,357.32. S&P 500 gained 9.21 points, or 0.35 percent, to 2,672.63 and Nasdaq Composite added 55.60 points, or 0.77 percent, to 7,265.21.

Eurozone government bond yields slid as unexpected fall in German industrial output was seen as encouraging European Central Bank to prolong an unwinding of stimulus.

yield on benchmark 10-year German bund fell to 0.53 percent, while yields on U.S. benchmark 10-year Treasury notes rose slightly to 2.9516 percent.

Gold slipped, snapping three days of gains, as U.S. dollar index strengthened.

U.S. gold futures for delivery settled down 60 cents at $1,314.10 an ounce.

Reporting by Herbert Lash in New York; Editing by Dan Grebler, James Dalgleish, and Susan Thomas / Publisher: The Thomson Reuters.