Trump's Iran Escalation Sends Oil Prices Soaring for Fifth Consecutive Day

US President Donald Trump's announcement to intensify economic pressure on Iran sent oil prices surging for a fifth consecutive day. Brent crude climbed above $92 per barrel, while WTI traded at over $86 per barrel. The White House warned of tougher sanctions and penalties for entities supporting Iranian economic activities.

The US Energy Information Administration reported a surprise increase in US commercial crude oil inventories, rising by 4.4 million barrels to 428.8 million barrels. This marks the third consecutive weekly build and the highest level since May. The Strategic Petroleum Reserve fell by 5.3 million barrels, resulting in total US crude oil inventories decreasing by only 0.9 million barrels.

The commercial stock build was driven by higher domestic supply despite strong export demand and lower imports. Crude exports rose by 1.01 million b/d week-on-week to 4.07 million b/d, while imports fell by 746k b/d to 6.59 million b/d.