Crude oil prices surge amid Trump’s statements on Iran

The world crude oil market is in turmoil due to Donald Trump’s loud statements about Iran, which have already provoked a jump in international quotes. At the same time, the situation at gas stations in Ukraine is the opposite: price tags for gasoline, diesel and autogas demonstrate mixed dynamics, and analysts predict further fuel price reductions.

At the end of last week, world crude oil prices rose after US President Donald Trump said that his patience with Tehran was running out and called on the Iranian side to immediately conclude a deal. Despite Tehran’s statements about the free passage of ships, the situation in the Strait of Hormuz remains tense. Analysts point to the lack of a real diplomatic breakthrough, which is returning the market’s attention to the risks of military escalation.

As of Friday evening, May 15, since the start of trading, the benchmark Brent crude futures for June had risen by $3.54 per barrel, or 3.35%, to $109.3 per barrel. June futures for the US West Texas Intermediate crude oil had risen by $4.25, or 4.2%, to $105.4 per barrel. Brent crude rose by 7.84% over the week, while WTI crude rose by 10.48%.

The issue of energy security was one of the central topics of the summit between Donald Trump and Xi Jinping, where the possibility of China purchasing American crude oil instead of Iranian crude oil was discussed. China has traditionally been the largest buyer of Iranian crude oil cargoes, making it a key player in this confrontation. The easing of sanctions could significantly change the dynamics of relations between Washington, Beijing and Tehran. The American side hopes to convince China to help resolve the crisis around Iran, in particular the issue of unblocking the Strait of Hormuz, which is critically important for global oil trade.

Tags: prices, fuel