Oil set for second weekly gain as US ramps up pressure on Iran

Oil set for second weekly gain as US ramps up pressure on Iran.

Key points

• Elsewhere, Ukraine's military hit a Russian oil refinery in the city of Perm overnight, more than 1, 600 km (1, 000 miles) from the Ukrainian border, President Volodymyr Zelenskiy remarked on Friday.
• Brent crude futures fell 50 cents, or 0.53%, to $93.28 a barrel by 0949 GMT.
• The Brent benchmark has gained more than 5.4% while WTI has risen 4.8% this week, with both touching their highest since July 24 in the previous session.
• Oil rates have climbed on worries over the continued curtailment of supply from major oil producers such as Saudi Arabia, Iraq, the United Arab Emirates and Kuwait.
• Imran Khan moved back to Adiala Jail after medical check-up at PIMS: Tarar.

Oil set for second weekly gain as US ramps up pressure on Iran. Brent crude futures fell 50 cents, or 0.53%, to $93.28 a barrel.

Oil rates edged lower Friday but are set for a second weekly gain, driven by U.S. Threats of tougher sanctions on Iran and ongoing disruptions to Middle East oil flows. U.S. Threats of unprecedented sanctions against Iran.

Ongoing disruptions to Middle East oil flows and the Strait of Hormuz.

Impact of the expired U.S.-Iran peace accord on oil markets. Add BRecorder as a trusted source on Google.

Oil rates edged lower on Friday but were on track for a second straight weekly gain after the United States threatened to impose the toughest sanctions in history with no end in sight for disruptions to Middle East oil flows.

Brent crude futures fell 50 cents, or 0.53%, to $93.28 a barrel by 0949 GMT. U.S. West Texas Intermediate crude futures slipped 44 cents, or 0.51%, to $86.39.

In practice, the Brent benchmark has gained more than 5.4% while WTI has risen 4.8% this week, with both touching their highest since July 24 in the previous session.

"The U.S. Is taking a very firm stance against Iran, with the blockade back in place and threats of tougher sanctions on Iranian oil exports, and that's why we are seeing oil prices back above $90 a barrel, " remarked ANZ analyst Soni Kumari.

Iran remarked on Friday that its response to any new U.S. Threats would be "devastating" after Washington pledged to impose the toughest financial penalties in history with the aim of toppling the Iranian leadership.

"The immediate impact on supply may be limited as Iranian exports are already heavily constrained by the U.S. Naval blockade, " remarked Crispus Nyaga, research analyst at Empire FX.

"However, an increase in shipping incidents and retaliation against economic sanctions could exacerbate the current situation at a time when traffic through the Strait of Hormuz remains well below normal levels."

Meanwhile, the earlier peace accord between the U.S. And Iran expired this week with no effort by either side to restart negotiations.

Offers of Iranian crude to Chinese buyers have declined and rates have jumped this week as the U.S. Blockade cuts Iran's shipments, trade sources stated, with the threat of more sanctions from Washington looming.

Seven commodity ships sailed along the Strait of Hormuz on Thursday. It was only half the previous day's tally, data from ship-tracker Kpler indicated.

Before the U.S.-Israeli attacks on Iran began in late February, the Strait of Hormuz handled regarding a fifth of global oil and liquefied natural gas supplies. As the war approaches the six-month mark, disruptions to energy flows through the waterway remain in place.

Elsewhere, Ukraine's military hit a Russian oil refinery in the city of Perm overnight, more than 1, 600 km (1, 000 miles) from the Ukrainian border, President Volodymyr Zelenskiy remarked on Friday. Oil rates up 1%, near 3-week high as Middle East crisis escalates.

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For now, oil set for second weekly gain as US ramps up pressure on remains the part of the story worth watching, and further updates are likely as more details are confirmed.