Oil prices climbed for a second straight day on Friday as markets reacted to uncertainty over future supply from Venezuela and rising unrest in Iran. Brent crude futures rose around 0.7% to about $62.4 per barrel early Friday, while U.S. West Texas Intermediate (WTI) crude gained roughly 0.6% near $58.1. Both benchmarks were set for their third weekly gain amid persistent geopolitical concerns.
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Analysts said supply risks have counterbalanced expectations of a global oversupply in 2026, adding pressure on traders to price in possible disruptions. “Bottlenecks in the flow of sanctioned barrels and steady demand signals appear to counter the backdrop of an oversupplied 2026, at least for now,” said a senior market analyst. The recent gains follow a more than 3% jump on Thursday after two days of price declines.
Market attention has been drawn to the evolving situation in Venezuela following heightened U.S. involvement in the country’s oil sector. Reports that the United States may control Venezuelan oil exports have added to uncertainty, as major oil firms and global trading houses compete for export deals.
Meanwhile, civil unrest in Iran has raised concerns about production stability in one of the world’s key oil producers. Ongoing protests and an internet blackout in major cities like Tehran and Mashhad have underscored internal challenges that could impact output, even as global inventories continue to rise.
Despite the upward pressure from geopolitical tensions, analysts warn that rising global supplies could cap price gains unless risks around Iran or Venezuelan exports escalate further. Unless these factors intensify, the rebound in oil prices may be limited, they said.
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In Asia, premiums on heavy fuel oil have surged as traders anticipate more Venezuelan crude being diverted to the United States, reducing available supply for regional markets. That shift has created volatility in price spreads, even as large inventories temper broader market rallies.