NEW YORK (CNNMoney.com) -- Oil surged Tuesday, gaining nearly 4%, as the dollar weakened and investors flocked to more risky assets.
What prices are doing: Crude oil for March delivery rose $2.88, or 3.8%, to settle at $77.01 a barrel.
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| Click chart to view current commodity prices. |
The rally came after prices fell 2% Friday to settle at $74.13 on global recovery concerns and a build in crude supplies. Markets were closed Monday in observance of Presidents Day.
What's driving prices: Crude prices were lifted by a weaker dollar, which fell against the euro, pound and yen. The euro gained ground on restored confidence as Europe urged Greece to take measures to tackle its debt crisis and finance ministers met in Brussels to discuss the problem.
Last week, European leaders pledged to help debt-ridden Greece, easing worries that a default would spread into the eurozone and stall recovery.
Crude oil, like other commodities, is priced in dollars, and a weaker greenback lifts prices.
"The sentiment just seemed to change drastically over the weekend," said James Cordier, president of Liberty Trading Group. "Risk came back to the table with the stock market up sharply, and crude traded in the direction most easily traveled."
What analysts are saying: In addition to the weak dollar and renewed appetite for risk, analysts said oil prices are being supported by concerns about Iran.
"There's been an awful lot of talk about Iran recently," said Cameron Hanover analyst Peter Beutel. "That's certainly been a big factor in the way people are starting to think about this market."
Iran, the second-biggest oil producer in the Organization of Petroleum Exporting Countries, has been at odds with Western governments over its nuclear ambitions.
Gasoline prices: The national average for a gallon of regular unleaded gasoline decreased to $2.610, down .6 cent from the previous day's price of $2.616, according to motorist group AAA. 
| Overnight Avg Rate | Latest | Change | Last Week |
|---|---|---|---|
| 30 yr fixed | 3.80% | 3.88% | |
| 15 yr fixed | 3.20% | 3.23% | |
| 5/1 ARM | 3.84% | 3.88% | |
| 30 yr refi | 3.82% | 3.93% | |
| 15 yr refi | 3.20% | 3.23% |
Today's featured rates:
| Index | Last | Change | % Change |
|---|---|---|---|
| Dow | 32,627.97 | -234.33 | -0.71% |
| Nasdaq | 13,215.24 | 99.07 | 0.76% |
| S&P 500 | 3,913.10 | -2.36 | -0.06% |
| Treasuries | 1.73 | 0.00 | 0.12% |
| Company | Price | Change | % Change |
|---|---|---|---|
| Ford Motor Co | 8.29 | 0.05 | 0.61% |
| Advanced Micro Devic... | 54.59 | 0.70 | 1.30% |
| Cisco Systems Inc | 47.49 | -2.44 | -4.89% |
| General Electric Co | 13.00 | -0.16 | -1.22% |
| Kraft Heinz Co | 27.84 | -2.20 | -7.32% |
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