US-Iran Talks and Prospects of OPEC+ Production Increase Weaken Oil
The fifth round of US-Iran nuclear negotiations to be held in Rome has stolen the market's attention, in these negotiations Oman will act as a mediator whose proposal has been approved by Iran. These negotiations themselves have the potential for a reduction in sanctions on Iranian oil exports which if they occur could later add to the surplus in global supply itself.
The Iranian negotiating team itself remains committed to defending "the rights and interests of the Iranian people, especially in securing the peaceful use of nuclear energy, including uranium enrichment," and seeking the lifting of what it calls "unfair sanctions."
Meanwhile, Bloomberg reported that OPEC+ is currently discussing among its members whether they will make a new major production increase at the June 1 meeting. If the increase in production can become a reality, it is likely to further lower prices, especially if supported by demand that has not improved at this time.
Source: (mrv@Newsmaker)
