Oil steadied after its biggest decline since June as the US indicated it would hold off on attacking Iran for now.
West Texas Intermediate was near $59 a barrel after plunging 4.6% on Thursday, while Brent was below $64. Israel's Prime Minister Benjamin Netanyahu asked President Donald Trump to postpone plans for an attack on Iran, the New York Times reported. That's reduced the chance of an immediate US response to violent protests in the Islamic Republic, which could have led to disruptions to oil production or shipping.
Nevertheless, Washington is boosting its military presence in the Middle East. At least one aircraft carrier is moving into the region, and other military assets are expected to be shifted there in the coming days and weeks, Fox News reported, citing military sources.
Oil is set to end the week little changed after surging from Jan. 8 on concern the US would target OPEC's fourth-largest producer, threatening more than 3 million barrels a day of production. Upheaval in Venezuela and disruption to Kazakh exports from the Black Sea have also helped lift prices, which are fresh off their worst year since 2020 as output gains threaten to outpace sluggish demand growth.
In the Caribbean, the US is increasing its pressure on the use of sanctioned ships, with forces seizing a sixth oil tanker near Venezuela. Still, Trafigura Group is set to discharge its first oil cargo from the Latin American nation in storage facilities in Curacao as part of the US government's efforts to market the barrels.
Prices:
- WTI for February delivery was little changed at $59.26 a barrel at 8:06 a.m. in Singapore.
- Brent for March settlement closed 4.2% lower at $63.76 a barrel on Thursday.
Watch LIVE TV, Get Stock Market Updates, Top Business, IPO and Latest News on NDTV Profit.