According to the Financial Times, Brent oil futures fell by 0.5% to $60.44 per barrel. US WTI oil fell by 0.6% to $56.97 per barrel.
FT notes that Venezuela produces less than 1% of the world’s oil, and its exports are limited by US sanctions and a maritime blockade. However, according to the US Energy Information Administration (EIA), the country has about 17% of the world’s proven oil reserves, which allows it to significantly increase supplies.
Traders now need to assess the impact of US intervention in Venezuela’s oil sector, while analysts warn of an approaching oil surplus.
Amrita Sen, founder of the consulting company Energy Aspects, suggests that US intervention will lead to a price drop, as markets expect additional barrels of Venezuelan oil to eventually appear. Most analysts expect the oil price to continue to decline in 2026 (@dmytrogordon_official).
