Oil settles higher, records weekly, monthly gains

Oil drilling rigs

Oil prices rose by around 2.5% on Friday, recording both weekly and monthly gains, supported by the extension of nuclear negotiations between the US and Iran.

April Brent crude futures increased by 2.45%, or $1.73, to $72.48 per barrel. The benchmark posted a weekly gain of 1% and a monthly increase of 2.53%.

April US Nymex crude futures climbed 2.78%, or $1.81, to $67.02 per barrel, registering a weekly gain of 0.95% and advancing 2.77% over February.

Oil prices were supported by continued geopolitical uncertainty after the US and Iran agreed to extend nuclear talks until next week, amid concerns that diplomatic efforts could collapse and escalate into military confrontation.

US President Donald Trump said he expects talks to resume today but expressed dissatisfaction with the progress of negotiations, reiterating Washington’s firm stance against allowing Iran to obtain nuclear weapons.

The number of US oil drilling rigs declined this week, signaling a potential short-term tightening in domestic supply, while US crude production fell in December to its lowest level in six months.