The U.S. government plans to shut Iran's oil exports out of the market from November, demanding that all countries stop buying its oil.
The price for Brent crude oil, the global benchmark for the price of oil, was up 1.32 percent as of 9:15 a.m. EDT to $78.32 per barrel.
West Texas Intermediate crude for August delivery rose 20 cents to settle at US$74.14 a barrel on the New York Mercantile Exchange, after earlier rising to as high as US$75.27. "REDUCE PRICING NOW!" he added.
Mr. Trump tweeted Wednesday: "The OPEC Monopoly must remember that gas prices are up & they are doing little to help".
In other news, late Tuesday while traders were already preparing for the U.S. Independence Day holiday, the American Petroleum Institute (API) reported another major draw of $4.5 million barrels of U.S. crude oil inventories during the week-ending June 29. This must be a two way street.
Trump indirectly linked US foreign policy to his demand, saying the USA defends some oil producing countries "for very little" money.
OPEC together with a group of non-OPEC producers led by Russian Federation started to withhold output in 2017 to prop up the market. Iran, however, said it would be tough to erase its oil completely from the market by November, when USA sanctions snap back into place.
"A key driver of the rise in prices has been the OPEC-Russia deal to cut oil output, compounded by collapsing Venezuelan production and the United States decision to end the Iran deal", National Australia Bank (NAB) said in its July outlook.
Matthew Smith, the director of commodity research at ClipperData, told UPI that oil prices so far this week are moving on one hand on OPEC pledges of more production, but correcting later on fears of supply-side strains.
"If they want to stop Iranian oil exports, we will not allow any oil shipment to pass through the Strait of Hormuz", Ismail Kowsari, an Iranian Revolutionary Guards commander, told Iran's Young Journalists Club, Reuters reported.
NAB said its oil price forecasts "point to Brent spending the next few months largely in the mid-to-high $70s (per barrel) range, although meaningful OPEC-Russia output increases could push prices lower later in the year and higher United States shale production should impose an upside limit on WTI".