Key concept -- Fetal circulation vessels:
The umbilical cord contains 2 arteries + 1 vein (AVA rule: Arteries carry blood Away from heart).
Umbilical artery: Carries deoxygenated blood + metabolic waste from fetal circulation to the placenta. Two arteries arise from the left and right internal iliac arteries of the fetus.
Umbilical vein: Carries oxygenated, nutrient-rich blood back from the placenta to the fetal liver (then via ductus venosus to IVC).
Why the confusion? Normally arteries are oxygenated (in postnatal life), but in fetal circulation the umbilical artery is deoxygenated -- the opposite of adult convention. Direction of flow relative to heart defines artery/vein here.
\[\boxed{\text{Umbilical artery: deoxygenated blood, fetus} \to \text{placenta}}\]