Oil prices climbed to 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 highest since late 2014, driven by declining Venezuelan crude production worries the United States could re-impose sanctions on .

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

The euro broke below $1.19 the first time year. On weaker-than-expected German industrial orders declining eurozone sentiment.

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

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

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

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

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

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

Venezuelan Oil prices exports came 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.

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

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

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

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

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

On Wall Street, the S&P energy index the biggest gainer among the 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 to withdraw from the deal.

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

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

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

The yield on the 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 the U.S. dollar index strengthened.

U.S. gold futures for June 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.