Oil prices saw an uptick on Friday, driven by the United States imposing stricter sanctions on Iran and Russia. This rise followed a notable decline on Thursday, influenced by diminishing expectations from the International Energy Agency regarding oil demand.
Brent crude prices rose to approximately $70 per barrel after experiencing a 1.5% drop in the previous trading session. Meanwhile, the West Texas Intermediate crude fell below $67, according to market data.
The White House’s sanctions targeted the Iranian Oil Minister and extended to additional companies and vessels linked to the Iranian regime, a member of the Organization of the Petroleum Exporting Countries (OPEC). Furthermore, it imposed limitations on payment channels for Russian energy exports.
This recent decline in oil prices coincided with the International Energy Agency’s forecast of a deepening surplus in the global oil supply, as the ongoing trade conflict dampens demand, while OPEC+ continues to incrementally boost production levels.
The downturn placed West Texas Intermediate crude on track for its eighth consecutive weekly decline, marking the longest losing streak since August 2015. In contrast, Brent crude has recorded a decline for just the fourth week during this period.