Oil prices fell on Friday, marking their first monthly decline since November, as geopolitical tensions and trade concerns weighed on the market. Brent settled at $73.18 (-1.16%), while WTI closed at $69.76 (-0.84%). Both benchmarks faced downward pressure amid volatility stemming from an Oval Office argument between Presidents Trump and Zelenskiy over a potential Russia-Ukraine ceasefire. The heated exchange raised speculation that Russia could boost oil exports if a peace deal materializes.
Further uncertainty arose from Trump’s tariff policies, with new 25% duties on Mexican and Canadian imports and a 10% hike on Chinese goods set to take effect on March 4. Analysts warned these trade measures could slow global economic growth and curb crude demand.
In supply developments, Iraq announced the long-awaited resumption of oil exports from Kurdistan via the Iraq-Turkey pipeline at an initial rate of 185,000 barrels per day. However, international oil firms operating in the region withheld participation due to unresolved commercial agreements and unpaid revenues. The move raises concerns about Iraq’s compliance with OPEC+ production limits, especially as the group debates whether to proceed with an April output increase or delay it to stabilize prices.
Despite these bearish factors, some analysts believe oil prices could rebound, as seasonal demand for gasoline and diesel typically strengthens heading into Easter.