Oil rises over 1%, heads for 1st weekly gain in April

Oil drilling rigs

Oil prices rose more than 1% today, April 17, heading for their first weekly gain this month, amid the possibility of supply declining after the US pledged to reduce Iranian energy exports to zero.

The US administration imposed new sanctions targeting Iranian oil exports, including a refinery in China, increasing pressure on Tehran amid nuclear talks.

Brent crude was trading up 1.28% at $66.63 a barrel, at 8:46 am Makkah time, after gaining nearly 2% in the previous session. West Texas Intermediate (WTI) crude rose 1.44% to $63.37 a barrel.

Oil markets will close for the week at the end of today, ahead of Good Friday holiday on April 18 when US equity markets will also remain closed.

Market concerns over supply increased after OPEC reported on April 16 that it had received updated plans from Iraq, Kazakhstan, and other countries to further cut output to compensate for over-production.