WTI Jumps Nearly 4% to Reclaim $81 as Iran Risks Return

WTI crude oil rebounded sharply on Wednesday after falling to its lowest level in more than two weeks. Renewed concerns over US-Iran tensions encouraged traders to rebuild part of the geopolitical risk premium, lifting prices back above the $81 mark.

The recovery came as optimism over a lasting de-escalation in the Middle East began to fade. As long as geopolitical tensions remain elevated, oil prices are likely to retain a meaningful risk premium.

Supply fundamentals also offered additional support. Industry data pointed to a larger-than-expected draw in US crude inventories, reinforcing expectations that the market remains relatively tight despite lingering concerns over global demand.

Attention is now turning to the official EIA inventory report, which could provide the next catalyst for prices. A larger-than-expected inventory draw would strengthen the bullish case, while an unexpected build could quickly cap the latest recovery.

From a technical perspective, WTI has reclaimed the $81.00 level after finding support near recent lows. A sustained move above $82.00 could open the door toward the $83.50–84.00 resistance zone, while a break back below $80.50 would suggest the rebound is losing momentum and shift focus toward the recent swing low.