Oil prices have decreased, although expectations that US will re-introduce sanctions against Iran continue to support prices.

Despite the dip in prices, Brent largely held on its gains from the previous session.

Global benchmark Brent crude futures LCOc1 declined 27 cents, or 0.4%, trading at $74.47 a barrel, while US West Texas Intermediate (WTI) crude CLc1 decreased 19 cents, or 0.3%, to $68, according to Reuters.

Brent is on course to post gains of 0.5% for the third successive week, while WTI is set to register a weekly drop of 0.4%.

Energy Aspects oil analyst Virendra Chauhan was quoted by the news agency as saying: “There’s a little bit of profit-taking today.

“The broader narrative, particularly the strength in Brent, is that people are really concerned about going short of oil when sanctions are potentially going to be re-imposed and the market is trying to assess what that means for Iranian exports.”

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.
“The decision to impose sanctions against Iran is likely to be reached before 12 May.”

The decision to impose sanctions against Iran is likely to be reached before 12 May.

In 2015, the US and its western allies lifted sanctions on Iran in exchange for Iran suspending its nuclear programme.

In case renewed sanctions are in place, they are expected to affect Iranian oil exports.

The concerns over the sanctions resulted in Brent gaining 5.9% this month.

Additionally, political and economic difficulties in Venezuela continue to support oil prices.

The unrest in the Latin American country has resulted in a 40% fall in crude production in the past two years.