Oil Prices Edge Up Amid US-Iran Talks Deadlock and Lower Demand Projections

Oil prices rose slightly on Wednesday as investors weighed the deadlock in US-Iran talks against lower demand forecasts. Brent futures settled at $88.98 a barrel, while U.S. West Texas Intermediate crude rose to $83.27.

The strength in oil prices comes as markets grow increasingly doubtful that an agreement can soon be reached to ease disruptions to crude flows from the region or prevent another escalation of the conflict, said Simon-Peter Massabni, head of business development at brokerage XS.com.

OPEC and the International Energy Agency cut their oil demand outlooks for 2026 due to the US-Iran talks stall. The Organisation of the Petroleum Exporting Countries lowered its world oil demand growth forecast for 2026 to 580,000 barrels per day.