Global oil prices rose on Thursday after two consecutive days of decline, as uncertainty surrounding tensions with Iran pushed markets higher once again. Traders closely monitored political developments between Tehran and Washington, which continue to influence energy prices worldwide.
Brent crude oil from the North Sea gained 81 cents and traded at $105.83 per barrel during early market activity. Meanwhile, U.S. West Texas Intermediate crude increased by 97 cents and reached $99.23 per barrel.
The rebound followed sharp losses on Wednesday, when oil prices dropped by nearly 5.6 percent after signs emerged that the United States and Iran could move closer to a possible agreement. Investors reacted positively after U.S. President Donald Trump announced that negotiations between Washington and Tehran had entered their final stage.
However, market sentiment shifted again after Trump warned Iran that it had only a few days to provide a positive response to the proposed deal. He also threatened stronger measures if Tehran refused to cooperate, increasing fears that tensions in the Middle East could escalate further.
Energy analysts say geopolitical uncertainty remains one of the biggest drivers of oil prices. Any sign of conflict or instability in the region quickly affects global supply expectations because the Middle East plays a critical role in international energy exports.
At the same time, investors continue to watch shipping routes, production levels, and possible sanctions that could affect the global oil market. Concerns over supply disruptions have kept prices volatile throughout recent weeks.
Despite the latest increase, analysts believe oil markets could continue to experience sudden swings depending on the outcome of negotiations between Iran and the United States. Traders also expect political statements from both countries to remain a major factor influencing crude prices in the coming days.
