How Iran Tension and Venezuela Supply Could Change Shape of Oil Market

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Those are two new hot spots of concern, and both areas are fraught with uncertainty.

The oil market is once again finding itself caught in the middle of disparate geopolitical forces just as the week gets going.

President Joe Biden and Venezuela’s government have agreed to ease those restrictions on the promise of the South American country holding internationally monitored elections next year, the Washington Post reported Monday. While Iran has some of the biggest oil reserves–fourth after Venezuela, Saudi Arabia, and Canada–its output is still only about 3 million barrels a day. By way of comparison, the U.S. produces almost 13 million barrels a day. Russia and Saudi Arabia each have output of around 9 million barrels a day.

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