As of 21:07 ET (01:07 GMT), Asian oil benchmarks continued their upward trajectory, boosted by recent U.S. sanctions on Iran’s LPG network, significant declines in U.S. crude inventories, and alleviating policy worries from Washington.

Key Price Movements

• Brent Crude (June): Increased by 1.0% to $68.12/bbl

• WTI Crude: Up 1.0% to $63.58/bbl

• Prior Session: Both contracts had risen nearly 2% the day before.

Reasons Behind Price Growth

U.S. Sanctions on Iran

• Targeted Figures: Sanctions focus on Seyed Asadoollah Emamjomeh and his LPG export network.

• Revenue Impacts: Efforts aim to curtail financial streams supporting destabilizing actions.

• Geopolitical Background: Sanctions coincide with the resumption of nuclear discussions this weekend in Oman.

Decline in U.S. Crude Stocks

• Significant Reports: API reported a large reduction in U.S. commercial crude stocks.

• Market Implications: This signals a tightening supply even as OPEC+ increases output.

Optimism in Policy and Trade

• Fed Remarks: Trump dialed back threats against Fed Chair Powell, easing monetary policy concerns.

• Trade Hopes: Trump indicated that tariffs on China will fall significantly, although not entirely.

Future Considerations for Oil Traders

1. EIA Weekly Inventory Report (Thursday): Essential for confirmation of reported inventory declines.

2. OPEC+ Production Meeting: Upcoming discussions regarding potential adjustments and compliance will greatly influence forecasts.

3. Economic Announcements: Flash PMIs and U.S. durable goods orders will provide insights into demand trends.

Stay Informed

Always stay updated on key market factors affecting oil, including EIA inventories and global announcements. For real-time data, visit Entreprenerdly.com.