Oil prices rose marginally in Asian trade on Friday but were on track for a third straight week of decline, hurt by U.S. President Donald Trump’s renewed trade war on China and threats of tariff hikes on other countries.
Brent crude futures rose 32 cents to $74.61 a barrel by 0500 GMT, but were poised to fall 2.8% this week.
Meanwhile, U.S. West Texas Intermediate crude was up 24 cents at $70.85 a barrel, down about 2.3% on a weekly basis.
“Oil prices saw some stability return this morning following a volatile session overnight, as traders react to news of U.S. sanctions on Iranian crude exports to China,” said Yeap Jun Rong, market strategist at IG.
The U.S. Treasury said on Thursday it is imposing new sanctions on a few individuals and tankers helping to ship millions of barrels of Iranian crude oil per year to China, in an incremental move to boost pressure on Tehran.
Trump had announced a 10% tariff on Chinese imports as part of a broad plan to improve the U.S. trade balance, but suspended plans to impose steep tariffs on Mexico and Canada.
