Oil Prices Climb as Trump Urges Americans to Leave Tehran

Oil Prices Climb as Trump Urges Americans to Leave Tehran

Crude oil markets remain volatile as geopolitical tensions escalate. Oil prices rose early Tuesday after US President Donald Trump called on American citizens to leave Tehran, citing increasing threats to safety due to the Israel-Iran conflict.

This development has reignited risk premium pricing in oil, with traders bracing for further instability across the Middle East. With Iran being a major oil-producing nation and the Strait of Hormuz a critical oil shipping route, the warning has amplified fears of potential supply disruptions.

Market Reaction: Crude on Edge

• WTI crude and Brent crude futures posted modest gains during the early European session.
• Traders are closely watching for retaliatory moves or further diplomatic fallout.
• The oil market continues to be highly sensitive to geopolitical signals, with even minor updates sparking volatility.

Outlook: Elevated Risk Keeps Oil Supported

As long as military tensions persist and the potential for conflict escalation remains high, oil is likely to remain supported above recent lows. However, traders should also monitor upcoming US inventory data and OPEC+ commentary for further direction.

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