Oil Heading for Weekly Gain on U.S. Economy, Iranian Tensions

Oil headed for a weekly gain in New York on signs that the U.S. economic recovery is gaining momentum and concern that tensions with Iran may lead to a disruption in Middle East exports.

West Texas Intermediate futures have advanced 3.7 percent this week. U.S. employers added more workers to payrolls than forecast in December and the jobless rate declined to an almost three-year low, the Labor Department said today. The European Union is working to halt oil purchases from Iran, said Victoria Nuland, a U.S. State Department spokeswoman. European foreign ministers aim to announce harsher penalties on the Persian Gulf nation’s energy and banking industries at a meeting Jan. 30, according to EU spokesman Michael Mann.