Crude oil prices climbed higher on Thursday after the U.S. hit Iran with fresh sanctions. The U.S. issued fresh sanctions on Iran, targeting entities including a Chinese 'teapot', or independent refinery, and vessels that supplied crude oil to such processing plants. Teapot refiners are private Chinese refineries that are the primary purchasers of Iranian oil. Moreover, recent data from the Energy Information Administration showed a drop in gasoline stockpiles last week which supported oil’s up move.
Benchmark crude oil futures for April jumped by $1.10 or about 1.6% at $ 68.26 a barrel on the New York Mercantile Exchange. Brent crude for May delivery surged $1.22 or about 1.7% to settle at $72.00 a barrel on London's Intercontinental Exchange.