Crude Oil Prices Rise on Dec 26 on Geopolitical Developments

Crude Oil prices edged higher on Friday as markets reacted to heightened geopolitical tensions involving Venezuela and Nigeria. Brent crude futures rose 24 cents, or 0.4%, to $62.48 per barrel by 0114 GMT, while U.S. West Texas Intermediate (WTI) crude gained 23 cents, also 0.4%, to $58.58 per barrel. The gains reflected concerns over potential supply disruptions from two major oil-producing nations.

Pressure on Venezuelan Oil Shipments

The United States has ordered increased economic pressure on Venezuelan oil exports, signaling a tougher stance on Caracas. According to the White House, U.S. military forces have been instructed to focus on a “quarantine” of Venezuelan oil shipments for at least the next two months. 

This move suggests Washington is prioritising economic measures over military action to restrict Venezuela’s oil flows, raising concerns about reduced supply in global markets.

Steep Annual Declines Still in Focus

Despite the recent uptick, oil prices remain on track for their sharpest annual decline since 2020. Brent crude is expected to fall around 16% this year, while WTI is set to drop nearly 18%.

Awaiting U.S. Inventory Data

Market participants are now looking ahead to the U.S. Energy Information Administration’s official inventory data, scheduled for release on Monday following a delay due to the Christmas holiday. The data is expected to provide further insight into fuel demand trends in the world’s largest oil consumer.

Also Read: Best Energy Stocks Under ₹100 in India for December 2025!

Conclusion

While crude oil prices have found short-term support from geopolitical tensions involving Venezuela and Nigeria, broader concerns over excess supply and slowing demand continue to weigh on the market. As a result, crude benchmarks remain poised for their steepest annual losses in several years despite intermittent rallies.

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