On Tuesday, international oil prices turned upward in just one day after a significant drop.
The previous day’s decline was caused by U.S. President Donald Trump’s intensified criticism of Federal Reserve Chair Jerome Powell, which had sparked a risk-off sentiment in the market. However, global oil prices jumped again.
The new U.S. sanctions on Iranian oil played a crucial role in driving prices higher.
Despite some progress in nuclear negotiations between the U.S. and Iran, the lack of a final agreement prompted the U.S. to impose additional sanctions on the Iranian oil industry, including companies involved in liquefied petroleum gas and crude oil transportation.
Fears of disruptions in Iran’s oil supply drove oil prices up.
Brent crude, the global oil benchmark, saw its June contract climb 1.18 USD (1.78%) to 67.44 USD per barrel.
Similarly, West Texas Intermediate (WTI), the U.S. oil benchmark, experienced a sharp increase, with the May contract closing up 1.23 USD (1.95%) at 64.31 USD per barrel.
