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Business & EconomyMarkets

Oil Gains Slightly but Still Pressured by Oversupply, Conflicts

Brent crude rose slightly to $61 per barrel, recovering part of last week’s losses, yet remains under pressure from oversupply concerns and geopolitical tensions in Venezuela, Ukraine, and Iran

Oil Prices Climb as Geopolitical Tensions Shake Markets
Solomon Boakye
Dec 15, 2025

Brent crude oil prices edged higher on Monday, December 15, 2025, as geopolitical tensions and regional developments stirred global markets. 

Brent rose to $61.27 per barrel, up 0.24% from the previous day, partially recovering from last week’s more than 4% decline. Despite the modest gain, Brent remains down 4.57% over the past month and 17.11% compared to the same period last year.

The uptick comes amid heightened geopolitical uncertainty that overshadowed lingering worries about oversupply in global oil markets. The United States intensified pressure on Venezuela, seizing a tanker and imposing new sanctions targeting ships and associates linked to President Nicolás Maduro. These measures, coupled with an expanded US military presence in the region, added a layer of supply risk that supported oil prices.

Meanwhile, markets closely followed developments in Ukraine, where peace talks took place in Berlin over the weekend. US envoy Steve Witkoff noted that “a lot of progress was made” during the discussions. 

Yet, despite diplomatic efforts, the situation on the ground remains tense. Ukrainian drone strikes continued to target oil depots and refineries across multiple Russian regions, keeping potential supply disruptions in focus for investors.

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Adding to the global uncertainty, Iran reported the seizure of a foreign tanker in the Gulf of Oman over alleged fuel smuggling. The incident underscored the vulnerability of critical shipping routes and heightened concerns about the stability of Middle Eastern oil supplies.

Analysts say that while the recent recovery in Brent provides some relief to markets, the broader trend remains pressured by oversupply. Ongoing production from major oil-exporting nations, combined with weaker demand in certain regions, continues to weigh on prices. Investors are balancing the short-term geopolitical risks against these longer-term fundamentals, keeping markets on edge.

Brent’s gains on Monday illustrate the market’s sensitivity to geopolitical developments. Even small shifts in diplomatic or military activity can ripple through global oil markets, influencing both futures and spot prices. Traders remain alert to potential supply disruptions, monitoring developments in Venezuela, Russia, Ukraine, and the Persian Gulf closely.

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