According to sources, global oil prices are heading toward their largest monthly gain on Friday as tensions in the Middle East rise, which could impact Iran’s oil production due to a potential U.S. strike. Brent crude oil futures fell by 21 cents to $70.50 per barrel, although on Thursday they had closed at their highest level since July 31 with a 3.4 percent gain. The March contract expires on Friday, while the more active April contract was down 37 cents at $69.22.
U.S. West Texas Intermediate (WTI) crude fell 39 cents to $65.03 per barrel, despite closing at its highest level since September 26 with a 3.4 percent gain in the previous session. Sources say both benchmark oil indices are set to record their first monthly increase in six months, with Brent up more than 16 percent, heading for its largest monthly gain since January 2022, and WTI up 14 percent, on track for its biggest monthly rise since July 2023.
Other factors affecting global oil production have also emerged, including disruptions in Kazakhstan, Russia, and Venezuela, which together have impacted supply by 1.5 million barrels per day in January. Kazakhstan has announced a phased restart of its large Tengiz oil field, Russian exports have been affected by bad weather, and Venezuelan production has decreased following U.S. actions.
