Finance
Oil prices rise as Trump puts time limit on Iran stand-off
Published by Global Banking & Finance Review®
Posted on February 20, 2026
2 min readLast updated: February 20, 2026
Quick Summary
Oil prices rise as U.S.–Iran tensions intensify and Trump sets a 10–15 day deadline on a nuclear deal. Brent hits $71.87 and WTI $66.66, with U.S. stock draws and lower Saudi exports adding support.
Oil climbs as Trump sets deadline in Iran standoff, stoking risk
By Laila Kearney
Market Overview and Geopolitical Tensions
Feb 20 - Oil prices were higher on Friday as concern of conflict between the U.S. and Iran ratcheted up, with Washington saying Tehran will suffer if it does not agree a deal about its nuclear activity within a matter of days.
Price Snapshot: Brent and WTI
Brent crude futures rose 21 cents, or 0.3%, to $71.87, while U.S. West Texas Intermediate crude gained 23 cents, or 0.4% to $66.66.
U.S.–Iran Standoff and Deadline Rhetoric
Prices settled at their highest in six months on Thursday after U.S. President Trump said "really bad things" would happen if Iran does not come to an agreement regarding a nuclear program it has said is peaceful but that the U.S. believes is militaristic. Trump set a deadline of 10 to 15 days.
Planned Russian–Iranian Naval Exercise
Iran, meanwhile, has planned a joint naval exercise with Russia, a local news agency reported, days after temporarily closing the Strait of Hormuz for military drills.
Hormuz Chokepoint and Supply Risks
The major oil producer lies opposite the oil-rich Arabian Peninsula across the Strait of Hormuz, through which about 20% of global oil supply passes. Conflict in the area could limit oil supplies entering the global market and push up prices.
Stock Draws and Export Limits
Also supporting oil prices were reports of falling crude oil stocks and limited exports in the world's biggest oil producing and exporting countries.
EIA Reports 9 Million-Barrel Draw
U.S. crude inventories dropped by 9 million barrels, as refining utilisation and exports climbed, showed an Energy Information Administration report on Thursday.
Saudi Exports Hit Multi‑Month Low
Oil exports from Saudi Arabia, the world's largest oil exporter, fell to 6.988 million barrels per day in December, the lowest since September, showed data from the Joint Organizations Data Initiative.
Japan Inflation and Rate Outlook
Elsewhere, Japan's annual core consumer inflation rate hit 2.0% in January, the slowest in two years, potentially dragging on any central bank plan to raise its policy interest rate.
Why Low Rates Support Crude
Low interest rates in oil-importing countries such as Japan are typically seen as supportive for crude prices.
Reporting and Editing Credits
(Reporting by Laila Kearney in New York; Editing by Christopher Cushing)
Key Takeaways
- •Brent and WTI climb as U.S.–Iran tensions escalate and a 10–15 day deadline is set.
- •Potential supply risks through the Strait of Hormuz, a key global oil chokepoint.
- •EIA data show a sharp U.S. crude inventory draw amid higher refinery runs and exports.
- •Saudi crude exports fell to 6.988 million bpd in December, supporting prices.
- •Japan’s core inflation slowed to 2.0% in January, easing rate-hike pressure and aiding demand.
Frequently Asked Questions about Oil prices rise as Trump puts time limit on Iran stand-off
1What is the main topic?
The article covers a rise in oil prices driven by escalating U.S.–Iran tensions, including a 10–15 day deadline set by President Trump, alongside supportive supply data and trade flows.
2How do Iran tensions impact crude prices?
Geopolitical risk near the Strait of Hormuz threatens flows that carry a large share of global oil. Fears of disruption lift risk premiums and push Brent and WTI higher.
3What supply data supported the price gains?
An EIA report showed a sharp U.S. crude inventory draw amid higher refinery runs and exports, while JODI data indicated Saudi exports eased in December.
