Amidst possible supply disruptions related to Iran and increasing geopolitical risks, oil prices on world markets have risen by approximately 3 percent.
Modern.az reports that "Reuters" has disseminated information on this matter.
According to the information, "Brent" crude oil futures rose by $1.88, or 2.9 percent, reaching $65.75 per barrel. This indicator is considered one of the highest levels in the last three months. US WTI crude oil, on the other hand, increased by $1.79, or approximately 3 percent, trading at $61.29.
It is noted that Iran is one of OPEC's main oil producers, and instability in the country is causing serious concern in the markets. US President Donald Trump stated on Monday that any country trading with Iran will face a 25 percent tariff on all commercial transactions with the US. Trump also did not rule out the possibility of military action.
"PVM Oil Associates" analyst John Evans stated that the oil market is forming a certain “price protection” against geopolitical factors. According to him, the possibility of Iran's exports being removed from the market, problems around Venezuela, negotiations related to the Russia–Ukraine war, and tensions around Greenland are key factors affecting prices.
"Barclays" bank, on the other hand, noted that the ongoing unrest in Iran has added a geopolitical risk premium of $3–4 per barrel to oil prices.
