Crude oil prices continue to rise as world braces for possible US strike on Iran

Global crude oil prices climbed for a third straight day, gaining 1.5% on Thursday amid concerns over a potential U.S. military attack on Iran.

Brent crude futures rose by 94 cents, or 1.4%, to $69.34 per barrel, while U.S. West Texas Intermediate (WTI crude) increased by 92 cents, or 1.5%, to $64.13 per barrel. Overall, both contracts have gained about 5% since the start of the week.

The main market driver was statements about possible U.S. strikes on Iranian security forces. The administration of Donald Trump has stepped up pressure on Tehran over its nuclear program, deploying a naval task force to the region.

Iran, OPEC’s fourth-largest crude oil producer at 3.2 million barrels per day, now faces the risk of regime change. According to Reuters, the White House is considering attack options that could trigger internal unrest in the country.

Beyond geopolitics, the market was also supported by news from the United States and Kazakhstan:

United States: Crude oil inventories unexpectedly fell by 2.3 million barrels, despite forecasts for an increase. At the same time, U.S. production is only beginning to recover after the winter storm “Fern.”

Kazakhstan: The Tengiz crude oil field is gradually returning to full capacity following major power grid fires last week.

Analysts warn that as long as the “geopolitical risk premium” surrounding Iran remains elevated, crude oil prices are likely to continue moving higher.

Tags: prices