WTI Oil Gains on Geopolitical Friction in Iran and Venezuela

The Iran and Venezuela Risk Premium

Protests in Iran have reintroduced a significant risk premium to the energy complex. Simultaneously, the U.S. intervention in Venezuela has created logistical uncertainty in the Caribbean, forcing tankers to seek alternate routes.

Fundamental Oversupply Counterweight

Despite the daily spikes, the long-term trend remains bearish. U.S. production is hitting record highs, and global inventories are expected to rise throughout 2026, potentially capping rallies near $65.