Oil Prices Rebound as US-Iran Talks Remain in Focus

Oil prices rebounded on Tuesday as investors assessed the possibility of diplomatic progress between the United States and Iran. Brent crude futures rose 1% to $101.4 a barrel, while US West Texas Intermediate (WTI) crude futures gained 0.8% to $93.12 a barrel.

The recovery came as traders remained focused on developments around potential US-Iran talks at the United Nations General Assembly this week. Any signs of progress towards a diplomatic understanding could ease concerns over supply disruptions and put downward pressure on crude prices, while a breakdown in talks could keep geopolitical risk elevated.

Brent, WTI Recover After Sharp Fall

The rise in oil prices followed a decline of more than 3% in the previous session, when crude came under pressure on expectations that diplomatic engagement could help reduce tensions in the Middle East. The latest recovery was relatively modest compared with Monday’s sell-off, suggesting that investors remained cautious about the outlook for the market.