At the Thursday trading, Brent oil did not decline but even inched up getting support from the market fundamentals. The quotes were recorded near $60 per bbl and took roots at around $61 per bbl. However, oil prices have slackened today staying at some $61 handle today.
There are just a few factors that could bolster the bullish pace observed earlier. In fact, market bulls achieved good results in December and early January, while now they need more drivers to achieve new peaks. At present, geopolitical issues, in particular, the threat of US sanctions against Venezuelan oil market. It is quite possible that the US President Donald Trump can tighten the measures by week's end, as the news reports read.
Although the move has potential chances to come true, the US president stated he needs cheap oil. Besides, easing of Iran sanctions definitely confirm his stance towards this issue. At the same time, even if Washington launches restrictions, the measures are likely to be designed in a way to have minimal pressure on the prices.
In general, there are no sources for the support for the oil market right now. According to the released data, oil reserves in the USA keep rising, while the first impact of the OPEC+ deal is yet to be felt. Moreover, some pressure still can come from the stock markets, as a new wave of risk aversion is inevitable.