International oil prices surged significantly on Thursday, rebounding after a three-day decline.
The spike was largely attributed to U.S. President Donald Trump’s announcement of additional sanctions against Iran’s oil industry. Trump declared that any country or individual buying Iranian oil or petrochemical products would be subject to secondary sanctions.
According to the secondary sanctions, entities that purchase Iranian oil or petrochemical products will face suspension from all commercial and financial transactions with the U.S.
Following three consecutive days of decline, oil prices soared amid concerns that Iranian oil might vanish from the market.
Brent crude, the global oil benchmark, saw a 1.75% increase as the July futures contract became the front-month contract. Brent settled at 62.13 USD per barrel, up 1.07 USD (1.75%) from the previous session.
The U.S. benchmark, West Texas Intermediate (WTI), closed at 59.24 USD per barrel for the June contract, gaining 1.03 USD (1.77%).
