Prices have been supported this month by concerns over heightened US–Iran tensions. Markets reacted after US President Donald Trump urged Iran to enter nuclear talks, while Iran warned of retaliation. Traders are watching how these tensions could affect oil flows, especially through the Strait of Hormuz, a narrow route that carries a significant share of global crude and liquefied natural gas shipments each day.
Earlier, oil was also lifted by worries about production problems in places like Kazakhstan, tightening US oil export rules on Russia, and supply issues in Venezuela. These factors helped push oil prices higher this year, even though many analysts expect global markets to have oversupply later in 2026.