Oil Strong As US Decision On Iran Sanctions Looms

Oil prices rose on May 4 but stayed below recent highs as global supplies remained tight and the market awaited news from Washington on possible new U.S. sanctions against Iran.

Brent crude oil was up 10 cents at $73.72 a barrel by 1315 GMT. The benchmark contract hit a 3-1/2 year closing high of $75.17 on Monday.

U.S. light crude was 15 cents higher at $68.58.

“The energy complex is entering a consolidation phase as a wait-and-see approach takes hold ahead of next week’s Iranian sanctions waiver deadline,” said Stephen Brennock, analyst at London brokerage PVM Oil Associates. “Expectations that the United States will pull out of the (Iran nuclear) deal and refrain from extending sanctions relief are keeping both crude markers near three-year peaks.”