The price of oil continues its steady growth after the United States officially announced that they will be pulling out from the Iran nuclear deal. Even though there are other countries involved in the agreement, they will likely have to abide by the United States’ choice and impose sanctions on Iran.
The deal was signed by Iran, the European Union, and the United States in 2015 and prevented Iran from developing its nuclear program, in exchange for lifted international sanctions. Now that the US has decided to abandon the deal, Iran will be facing sanctions once again, which would likely cause a disturbance on the oil supply from the country.
Due to investors’ fears that Iran will be forced to decrease its oil supply, the price of oil has been increasing dramatically. The Brent crude went up to $77.48, while the WTI was at $71.59. These are levels unseen in four years.
