Oil Gains Slightly Ahead of US-Iran Talks
Oil prices edged higher as market participants weighed the chances of a nuclear deal between the United States and Iran ahead of the next round of talks on Thursday. Despite hopes for diplomacy, the massive deployment of US military assets in the Middle East kept the market cautious as the risk of escalation remained.
West Texas Intermediate (WTI) crude traded around US$66 per barrel after closing down about 1% in the previous session. Meanwhile, Brent held below US$71 per barrel. Geopolitical tensions took center stage after Secretary of State Marco Rubio and the CIA Director briefed senior lawmakers on Iran, amid growing market speculation about possible military action.
US President Donald Trump reiterated that his primary option was diplomacy. However, he also warned that failure to reach a deal would be a "very bad" situation for Tehran. Oil market sensitivity to Iran headlines remains high, especially after prices rallied earlier in the year despite expectations that rising global supply could pressure futures.
Nuclear talks are scheduled to take place in Geneva on Thursday. Trump's special envoy, Steve Witkoff, and his son-in-law, Jared Kushner, are said to be meeting again with Iranian Foreign Minister Abbas Araghchi to continue negotiations.
In Asian trading, the WTI April contract rose 0.6% to US$66.02 per barrel at 7:32 a.m. Singapore time. Brent April contract closed 1% lower on Tuesday at US$70.77 per barrel, indicating the market is still in a "waiting for certainty" phase ahead of further diplomatic developments. (alg)
Source: Newsmaker.id
