Oil prices dipped slightly on Tuesday as markets remained cautious in anticipation of important economic data and the possibility of escalating tensions between the US and Iran.
International benchmark Brent crude traded at $68.65 per barrel, down 0.04% from the previous close of $68.68. US benchmark West Texas Intermediate (WTI) decreased 0.1% to $64.09 per barrel, compared with $64.16 in the previous session.
Iranian Foreign Minister Abbas Araghchi held talks with Egyptian Foreign Minister Badr Abdelatty and Saudi Foreign Minister Prince Faisal bin Farhan to exchange views on the “indirect negotiations in Oman.”
During the discussions, Araghchi described the indirect Iran-US talks in Oman as “a good start,” while stressing the need to remove distrust regarding Washington’s intentions and objectives.
The remarks eased concerns over oil supply disruptions, putting downward pressure on prices.
However, Islamic Revolutionary Guard Corps official Aziz Ghazanfari said the US had presented Tehran with four conditions ahead of the Oman talks and threatened military action if they were not accepted.
Meanwhile, markets are awaiting US employment and inflation data that could shape the outlook for oil demand and interest rates.
The nonfarm payrolls report due Wednesday and inflation data scheduled for release on Friday are expected to influence expectations for Federal Reserve rate cuts.
A weakening labor market could prompt a faster resumption of rate reductions, while persistently high inflation may delay the start of easing.
President Claudia Sheinbaum said Monday during a news conference that Mexican oil shipments to Cuba are currently at a standstill after US President Donald Trump decreed that all countries supplying oil to the Caribbean nation would be subject to tariffs.
She added that her administration is preparing a second shipment of humanitarian aid while seeking to broker an agreement with the US that would allow Mexico to resume oil exports to the country. #Nigerian Treasury Bill Yield Dips to 18.18% Ahead of Auction
