US-Iran Tensions Spark Oil Price Surge Amid Middle East Supply Fears
Oil prices have been rising due to growing tensions between the US and Iran. The tensions have led to fears of disruptions in Middle East oil supplies, which could tighten global oil markets.
Brent crude was trading at $93.28 a barrel on Friday, down 50 cents from Thursday's price. US West Texas Intermediate (WTI) crude was at $86.39 a barrel, down 44 cents.
Analysts say the main reason behind the latest oil price rise is the threat of tougher financial sanctions on Iran by the US. The sanctions could further reduce Iran's ability to export crude oil.
Saudi Arabia, Iraq, the United Arab Emirates, and Kuwait are among countries facing supply-related concerns. Iranian oil exports to China have also shown signs of weakness due to the US blockade.