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Crude oil nears $70 as US-Iran tensions rattle market
By Udeme Akpan
Crude oil prices climbed toward $70 per barrel, up from $67 last week, as rising tensions between the United States and Iran heightened fears of supply disruptions.
The rally followed the collapse of nuclear talks in Oman, which failed to bridge differences between both countries.
Market sentiment was further jolted after the US Department of Transportation advised US-flagged commercial vessels to avoid Iranian waters, fueling concerns of possible escalation.
Checks by Vanguard showed that Brent crude traded at $69.25 per barrel, while Murban crude stood at $69.51, as geopolitical risks injected fresh volatility into the market.
Analysts said traders are increasingly pricing in the risk of disruption around the Strait of Hormuz, a critical oil transit route. Recent US military action against an Iranian drone and heightened tensions in the Arabian Sea have added to market anxiety.
Meanwhile, supply data showed mixed signals. S&P Global reported that OPEC+ production fell to 42.56 million barrels per day (bpd) in January 2026, down 270,000 bpd from December — the first monthly decline in 13 months — driven by output cuts in Kazakhstan, Russia, Nigeria and Libya.
OPEC’s crude production also declined to 28.34 million bpd, about 60,000 bpd lower than December, largely due to reduced output from Nigeria and Libya.
Speaking to Vanguard, National President of the Oil and Gas Service Providers Association of Nigeria, Mazi Colman Obasi, said the market remains highly volatile.
“The next few weeks will continue to be unstable,” he said.
Despite projections of a global oil surplus in 2026, prices have remained elevated due to geopolitical uncertainty and opaque stockpiling in key markets such as China, analysts noted.
The post Crude oil nears $70 as US-Iran tensions rattle market appeared first on Vanguard News.
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