JAKARTA – Global oil prices surged along with US President Donald Trump’s scathing comments on Iran. This was done by Trump related to the shooting of a US military drone.
In trading on Thursday (6/20/2019) at 10:50 p.m., the WTI oil price contract in July 2019 jumped 5.64% to US $ 56.79 per barrel. Meanwhile, Brent oil in the August 2019 contract rose 4.06% to US $ 64.33 per barrel.
Monex Investindo analyst Futures Faisyal said oil prices had jumped sharply in the American trading session. In fact, the price had reached the level of US $ 57.25 per barrel.
Oil prices heat up after Iran shoots down a US military drone. That triggered President Trump to give scathing comments to Tehran on Twitter.
“The steps of Iran and Trump sparked fears of conflict between the two countries,” he explained on Thursday night.
President Trump in his tweet criticized Iran’s attack on US surveillance drones today. Trump said that Tehran had made a “very big mistake.”
The shooting of the drone came amid a standoff between Washington and Tehran, stemming from the Trump administration’s decision to withdraw from Iran’s nuclear agreement since 2005.
Before the attack on the drone, the US also accused Iran of carrying out an attack on oil tankers in the Persian gulf region that had recently occurred.
Tense relations in both countries have made crude oil prices soar because more than 20% of the world’s oil production comes from the Middle East region.
According to Faisyal, any threat that affects the flow of oil through the key point of the Strait of Hormuz can reduce the supply side. The drop in supply made oil prices rise.