Oil prices experienced an uptick during Asian trading hours on Friday, following remarks from U.S. President Donald Trump regarding the possibility of military intervention against significant oil producer Iran. This development has heightened apprehensions about potential supply disruptions in the Middle East. Despite experiencing losses in previous sessions, crude is on track for a fifth consecutive week of gains, driven by expectations of increasing demand and the market’s incorporation of a higher risk premium due to potential supply disruptions stemming from elevated global geopolitical tensions.

Brent oil futures for March increased by 0.9% to $64.62 a barrel, while West Texas Intermediate crude futures also saw a rise of 0.9% to $59.89 a barrel as of 22:48. Trump addressed reporters while on board Air Force One. On Thursday evening, it was stated that the U.S. had a fleet advancing towards Iran, and a warning was issued to Tehran regarding the killing of protestors or the resumption of its nuclear activities. “We have an armada… heading in that direction, and maybe we won’t have to use it,” Trump stated. “I’d prefer to avoid any developments, but we are monitoring the situation with great attention,” Trump stated.

Reports indicated that an aircraft carrier and multiple destroyers are scheduled to arrive in the Middle East in the forthcoming days, heightening apprehensions regarding a resurgence of military activity in the region. Iran ranks among the largest oil producers within the Organization of Petroleum Exporting Countries and serves as a significant supplier to China, the leading oil importer. Any military intervention by the U.S. is expected to disrupt oil supplies from the country. In January, Iran experienced widespread protests against the ruling Nezam, with reports suggesting that thousands of individuals lost their lives during the recent turmoil. Oil prices experienced an increase of between 0.6% and 0.8% this week following a volatile performance, as markets processed the evolving U.S. position regarding Greenland.

However, the mildly positive economic growth data from China, along with the International Energy Agency’s upward revision of its 2026 demand forecast, offered encouraging signals to the markets. Oil exhibited potential for bargain buying following a lackluster performance in 2025. The depreciation of the dollar contributed to the rise in oil prices, as market participants maintained their belief that the Federal Reserve is likely to reduce interest rates later this year.