Noida, Sep 22 (APAC Media): Crude oil prices edged higher on Tuesday after four straight sessions of losses, as investors weighed the prospect of renewed U.S.-Iran talks on the sidelines of this week’s United Nations General Assembly.
Brent crude futures for November delivery rose 1.8% to $99.20 a barrel, while U.S. West Texas Intermediate (WTI) crude futures gained 1.9% to $90.70 a barrel as of 2:25 p.m. IST.
The gains came after Brent settled 3.4% lower on Monday and WTI fell 4.5%, with both benchmarks closing at their lowest levels since Sept. 9.
“Crude oil prices rebounded in early trading, clawing back part of the previous session’s losses as persistent Middle East tensions continued to support risk premiums,” analysts said.
In Yemen, Iran-aligned Houthi forces have been engaged in fighting with Saudi-backed groups over strategic areas, including territory near the Bab el-Mandeb Strait, a narrow waterway connecting the Red Sea with the Gulf of Aden. Saudi Arabia has relied on the route to move crude to global markets following the effective closure of the nearby Strait of Hormuz.
In Libya, production at the Sharara oil field has fallen to about 127,000 barrels per day from roughly 340,000 barrels per day after an armed group blocked a pipeline connecting the field to the Zawiya export terminal, ING analysts said.
Russia could also extend a ban on most diesel exports as Ukrainian attacks on energy infrastructure disrupt refinery operations, Bloomberg News reported. Diesel prices have risen to record levels in the United States and Europe amid tighter supplies from major exporters, including Russia, Saudi Arabia and the United Arab Emirates.
U.S. President Donald Trump has said he would be willing to meet Iranian President Masoud Pezeshkian, who is expected to travel to New York for the UN General Assembly. Iran has also reportedly outlined conditions for returning to negotiations through mediators, fuelling hopes that diplomatic efforts could help ease tensions and prevent further escalation.
Meanwhile, some concerns over oil supplies have eased. Saudi Arabia has reportedly increased crude shipments through the Strait of Hormuz following disruptions to its key east-west pipeline.
Saudi crude flows through the waterway averaged around 2.9 million barrels per day over the past six days, a sharp increase from August levels, according to satellite data cited by Reuters.
News Agency Inputs
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Disclaimer: This article is for informational purposes only and is based on publicly available information. APAC Media is not responsible for investment decisions or losses. Please conduct your own research or consult a financial adviser before investing.
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