Oil Prices Snap Two-Week Streak Amid US-Iran Tensions
Oil prices took a hit on Friday, with Brent crude futures down by 25 cents to $89.45 a barrel and West Texas Intermediate crude futures falling 22 cents to $83.31. This comes despite simmering tensions between the US and Iran, which had driven oil prices higher in previous sessions.
The two-week winning streak for oil prices is set to come to an end as both benchmarks are poised to close lower this week. Brent crude is down by 5.3% while WTI has fallen by 4.3%.
According to a report from the Wall Street Journal, the Trump administration has no interest in reviving the June memorandum of understanding with Iran, complicating diplomatic efforts to restart talks. This news comes after the US announced 'toughest sanctions in history' on Iran earlier this week, which Tehran described as an 'inhumane and hostile act'.
The situation is further complicated by escalating geopolitical tensions between Russia and Ukraine, with Moscow warning it could strike British military targets inside and outside Ukraine. However, US President Donald Trump has downplayed the risk of a Russian attack on NATO countries.