WTI trims gains below $73.50 as Trump says Iran decision to come within two week

FXStreet
Updated
Mitrade
coverImg
Source: DepositPhotos

  • WTI price pares gains to near $73.25 in Friday’s early Asian session. 

  • Trump is set to decide within two weeks whether to strike Iran. 

  • Uncertainty about potential US involvement in the Israel-Iran conflict might cap the WTI’s downside. 

West Texas Intermediate (WTI), the US crude oil benchmark, is trading around $73.25 during the Asian trading hours on Friday. The WTI price edges lower as US President Donald Trump announced that he will decide on US involvement in the Israel–Iran conflict within two weeks. 

Bloomberg reported late Thursday that Trump will make the decision within two weeks whether to strike Iran as Israel hit more Iranian nuclear sites and warned its attacks may bring down the leadership in Tehran. His latest stance signals a step back after a run of tough rhetoric, which drags the WTI price lower. 

Israeli warplanes struck dozens of military targets in Iran overnight, including an inactive nuclear reactor in the area of Arak. Oil traders will closely monitor the developments surrounding geopolitical risks. Any signs of escalating tensions and fears that the Israel-Iran crisis could spiral into a broader conflict involving the US could boost the black gold in the near term.

The estimation of lower demand might cap the upside for the WTI. In its monthly oil report on Tuesday, the International Energy Agency (EIA) revised its world oil demand estimate downwards by 20,000 barrels per day from last month's forecast and increased the supply estimate by 200,000 bpd to 1.8 million bpd.

* The content presented above, whether from a third party or not, is considered as general advice only.  This article should not be construed as containing investment advice, investment recommendations, an offer of or solicitation for any transactions in financial instruments.

goTop
quote
Do you find this article useful?
Related Articles
placeholder
WTI holds near $69.00, five-week highs, following Trump’s renewed threat to RussiaWTI steadies after registering gains in the previous two successive sessions, trading around $68.90 per barrel during the early European hours on Wednesday.
Author  FXStreet
5 hours ago
WTI steadies after registering gains in the previous two successive sessions, trading around $68.90 per barrel during the early European hours on Wednesday.
placeholder
WTI climbs above $68.50 as Trump raises pressure on RussiaThe WTI climbs to the highest levels in over a month amid growing concerns over global supply risks.
Author  FXStreet
11 hours ago
The WTI climbs to the highest levels in over a month amid growing concerns over global supply risks.
placeholder
WTI trades with a negative bias below mid-$66.00s; downside seems limitedWTI edged lower during the Asian session on Tuesday and eroded a part of the previous day's strong gains to over a one-week high.
Author  FXStreet
Yesterday 02: 21
WTI edged lower during the Asian session on Tuesday and eroded a part of the previous day's strong gains to over a one-week high.
placeholder
WTI gains traction to near $65.00 as US-EU confirm 15% tariff dealThe WTI edges higher as the European Union (EU) agrees to the United States (US) trade deal ahead of the deadline.
Author  FXStreet
Jul 28, Mon
The WTI edges higher as the European Union (EU) agrees to the United States (US) trade deal ahead of the deadline.
placeholder
WTI climbs to near $66.00 on trade optimism, US crude stock drawWest Texas Intermediate (WTI), the US crude oil benchmark, is trading around $65.95 during the early Asian trading hours on Friday.
Author  FXStreet
Jul 25, Fri
West Texas Intermediate (WTI), the US crude oil benchmark, is trading around $65.95 during the early Asian trading hours on Friday.