Tensions between the US and Iran cause a sharp rise in oil prices
Oil prices closed higher this Friday amid fears of US attacks on Iran, increasing concerns about a regional conflict and disruption to global crude supply. AFP The North Sea Brent barrel, for April delivery, rose 2.45% to $72.48. Its US counterpart, West Texas Intermediate (WTI), for the same month, rose 2.78% to $67.02 per barrel.
TL;DR
- Oil prices rose on Friday due to fears of US attacks on Iran.
- Brent crude increased by 2.45% to $72.48, and WTI rose by 2.78% to $67.02.
- The persistent risk of a US military attack on Iran is the primary concern in the oil market.
- President Trump expressed dissatisfaction with nuclear negotiations and had not made a final decision on attacks.
- Iran's Foreign Minister warned the US against excessive demands in negotiations.
- The US has increased its military presence in the Middle East, including deploying aircraft carriers.
- An attack on Iran could increase Brent prices by up to $10.
- Iran is a major oil producer and its location near the Strait of Hormuz (through which 20% of global oil passes) amplifies concerns.