Brent crude oil futures climbed toward $74 per barrel on Wednesday, the highest in nearly four weeks, driven by concerns over tightening global supply.
The US threatened 25% tariffs on countries buying Venezuelan crude, disrupting trade flows, particularly to China, Venezuela’s biggest buyer.
This follows recent US sanctions targeting Iranian oil sales, though Saudi Arabia may increase production to offset lost Iranian exports.
Additionally, US crude inventories fell by 3.34 million barrels last week, more than double the expected draw, signaling strong demand.
On the other hand, the US reached deals with Ukraine and Russia to de-escalate attacks on energy infrastructure, and concerns over economic slowdown due to trade tensions persist.