Oil prices rose for a second day on Friday and are set for their third weekly gain. This increase reflects growing concerns about global supply uncertainty, especially from Venezuela and unrest in Iran.
Brent crude futures climbed 0.7% to about $62.39 per barrel early Friday. U.S. West Texas Intermediate (WTI) crude also rose 0.6% to around $58.11 per barrel. Both benchmarks had climbed more than 3% the previous day.
Market analysts say oil prices are supported by fears that supply could tighten. The possible disruption stems from the uncertain future of Venezuelan output and civil unrest in Iran. These factors have heightened concerns about fuel availability.
U.S. actions in Venezuela have added to market uncertainty. President Donald Trump’s recent move to seize Venezuelan leader Nicolas Maduro and assert U.S. control over the country’s oil sector has reinforced fears of supply disruption. Major trading firms are now competing for rights to export Venezuelan crude.
Iran’s unrest is also influencing oil prices. Protests in Tehran and other major cities have raised questions about the nation’s production stability, even though no confirmed disruptions have been reported. Analysts note that any escalation could tighten global supply further.
Despite the recent gains, broader market conditions remain mixed. Many analysts still see an ongoing global oversupply of crude in 2026 as a key factor that could limit further price increases. High inventories and steady production from major oil-producing countries continue to weigh on the market.
Stocks of oil trading and production companies have shown mixed responses to price movements. Some firms see higher prices as a sign of reduced supply, while others remain cautious due to oversupply concerns.
Looking ahead, markets are expected to closely monitor developments in Venezuela and Iran. Traders say the direction of oil prices in the coming weeks will largely depend on how these geopolitical situations evolve, especially if supply constraints intensify.
In summary, while oil prices have risen amid uncertainty, analysts stress that the global supply outlook and geopolitical risks will continue to shape price trends in early 2026.
In other news read more about: Oil Prices Drop as Ceasefire Eases Supply Fears
