Oil prices rebounded on Tuesday after U.S. President Donald Trump revoked Chevron’s license to operate in Venezuela, a move that has sparked concerns about a potential tightening of global oil supplies. The decision marks a significant escalation in U.S. sanctions against Venezuela, which has already seen its oil exports plummet due to economic and political crises.
Brent crude futures rose by 1.3% to 78.30 per barrel, while U.S. West Texas Intermediate (WTI) crude increased by 1.1% to 73.60 per barrel. Analysts warn that the revocation of Chevron’s license could further strain global oil markets, particularly as Venezuela remains a key member of the OPEC alliance.
The move is seen as part of a broader strategy to pressure Venezuela’s government, which has been accused of human rights abuses and undemocratic practices. However, it also raises concerns about the stability of global energy markets, which are already grappling with supply chain disruptions and fluctuating demand.
Market participants are now closely monitoring OPEC+’s response, as the group may need to adjust its production strategy to address the emerging supply gap.
