Brent surpasses $74, WTI records weekly gain of 6%

Oil drilling rigs

Oil prices ended a two-week losing streak amid expectations that additional sanctions on Russia and Iran would tighten supply. This coincided with optimism that lower interest rates in Europe and the US could boost fuel demand.

Brent crude futures for February 2025 delivery leapt 1.45%, or $1.08, to $74.49 per barrel.

Similarly, the US West Texas Intermediate (WTI) crude futures for January 2025 delivery increased over 1.8%, or $1.27, to $71.29 per barrel.

Both contracts gained 4.75% and 6.1% this week, respectively.

“This strength is being driven by expectations of tighter sanctions against Russia and Iran, more supportive Chinese economic guidance, and Mideast political havoc,” analysts at energy advisory firm Ritterbusch and Associates said in a note.

Britain, France, and Germany told the United Nations Security Council they were ready if necessary to trigger a so-called “snap back” of all international sanctions on Iran to prevent the country from acquiring nuclear weapons.