The Trump administration is easing oil sanctions on Venezuela by authorizing Chevron to resume operations under strict conditions, marking a major policy shift with geopolitical implications.

Venezuela might well be sanctioned by the U.S., but President Trump is making an exception for its oil. Per the WSJ, U.S. oil giant Chevron ( CVX) will soon be able to extract oil in the South American country. Specifics on the deal remained unclear. Its stock is 1.45% higher on the news.

From a technical perspective, WTI Crude remains confined within a narrowing range despite efforts from bulls to push through the $66.00 range. The recent move has allowed the price to recover above the 50-day Simple Moving Average (SMA) support level at 65.38, and the 100-day SMA is providing support at 64.62.

The U.S. government is evaluating the possibility of authorizing Chevron and potentially other European partners of PDVSA to operate in Venezuela, marking a potential policy shift. This comes as the U.

An arbitration court in Paris ruled that Chevron could proceed with its $53 billion acquisition of Hess, which had been on hold since 2023 as ExxonMobil contested the deal.

The acquisition of Hess—and its stake in a generational oil find—helps clear up lingering doubts about Chevron’s growth prospects.

As inflation surges under President Trump’s renewed sanctions, Venezuelan authorities are trying to keep a lid on the country’s worsening financial situation.