U.S. Treasury Holds Back on Oil Futures Amid Rising Tensions

The U.S. Treasury Department is currently not planning to trade oil futures, despite discussions suggesting potential involvement. Global oil prices rose due to conflict in Iran, but fell slightly after possible U.S. market intervention reports. Hesitancy surrounds tapping the Strategic Petroleum Reserve, which is only 60% full.

The Trump administration is not deploying the Treasury Department to trade oil futures at this time, according to a Bloomberg News report.

While discussions took place regarding the involvement of the Treasury, officials believe its impact on the market would be limited. Global oil prices have surged following conflict with Iran, disrupting Middle East supplies. However, prices dipped on Thursday, marking the first decline in six days, as speculation arose regarding potential U.S. futures market intervention.

The Strategic Petroleum Reserve remains relatively untapped due to its current capacity being just 60% full. Both the White House and the Treasury have yet to respond to requests for comments. A senior White House official indicated that the Treasury might soon announce measures to curb rising energy prices, although specifics remain undisclosed.