Oil prices climb from their lowest levels over two months as a license for Trump Chevron

Written by Yuka Opishi

TOKIORI (Reuters) – Oil prices have increased from their lowest levels for two months on Thursday after US President Donald Trump announced a reflection of a license that gives Chevron to work in Venezuela, which may tighten the raw offer.

Brent crude (BZ = F) Oil futures increased 19 cents, or 0.3 % to $ 72.72 a barrel by 0154 GMT. The future contracts for raw oil in West Texas (CL = F) increased 16 cents, or 0.2 % at $ 68.78 a barrel.

Both standards settled on Wednesday at their lowest levels since December 10 due to the construction of a surprise for American fuel fuel, which alluded to weakening the demand and the hopes of a possible peace agreement between Russia and Ukraine.

Trump said on Wednesday that he reflects a license to Chevron to work in Venezuela by his predecessor Joe Biden more than two years ago.

Chevron exports about 240,000 barrels per day of crude from Venezuela operations, over a quarter of the entire oil production in the country. Ending the license means that Chevron will not be able to export Venezuelan crude.

“Venezuela’s news raised relaxation after the last sale amid Russian -Ukraine’s -ceasefire talks,” said Hiroyuki Kikokawa, President of NS Trading, a unit in Nissan Securities.

“The potential purchase of the American Strategic Petroleum Reserve has supported the market since WTI has been circulating near its lowest level in more than two months,” he said.

Last week, Trump said his administration would fill quickly. Biden criticized for its use from SPR to reduce the price of gasoline.

Market participants are still focusing on Russian and volcanic peace talks in Trump. Trump said that Volodimir Zelinski will visit Washington on Friday to sign an agreement on rare land minerals, while the Ukrainian leader said that the success of the deal would depend on these talks and continue American aid.

The Energy Information Administration said on Wednesday that US crude oil stocks fell unexpected last week, as the correct activity increased, while gasoline lists and inventories tied to cut off sudden gains. [EIA/S]

“Since this is a seasonal period outside the peak times, with the transformation of the demand from kerosene to gasoline, the sale that its care is most likely to manage its course,” said Kikokawa of NS Trading.

Separately, Goldman Sachs said in a memorandum on Wednesday that the dual US administration’s goals of commodity dominating goods and the ability to withstand costs reinforce the $ 70-85 baseline, a range that leads to strong growth of the United States.

(Participated in the reports of Yuka Opishi; Editing by Edwina Gibs)