Oil prices closed higher on Tuesday, boosted by a weak dollar and boosted by the validation of the U.S. economic stimulus package despite the bleak outlook for demand.

The barrel of North Sea Brent for delivery in February advanced 0.45% or 23 cents to $51.09.

The US barrel of WTI for the month of February rose 0.79% or 38 cents to $ 48.00.

"Oil seems to be benefiting from the passage of the U.S. plan," said Jeffrey Halley, an analyst at Oanda. "Crude prices have also risen with the weakness of the dollar," added Ed Moya, also at Oanda.

U.S. President Donald Trump on Sunday night signed a $900 billion economic stimulus package granting aid to households and small businesses in the world's largest crude oil-consuming country.

Meanwhile, the Democratic-dominated House of Representatives voted Monday for even more aid to U.S. homes, but the Republican-dominated Senate will have the final say.

On Wednesday, the U.S. Department of Energy released its weekly report on U.S. crude inventories. They are expected to be down 3 million barrels, according to analysts' estimates.

In addition, the Organization of the Petroleum Exporting Countries (OPEC) and its allies, including Russia, are due to meet on Monday 4 January for their monthly meeting.

At the beginning of December, member countries decided to increase their production, which they voluntarily limit, by only 500,000 barrels per day, to avoid flooding the market with the 2 million barrels daily initially planned.

With prices rising, "the question is how vigorously, and at what rate, producers will turn on the tap," warns Stephen Innes, an analyst at Axi.