Oil Prices Rebound on US-Iran Talks Hopes

Oil prices have rebounded after declining for four consecutive sessions as investors await developments on potential US-Iran talks at the UN General Assembly this week. The Brent crude futures November contract rose $1.29, or 1.29%, to $101.63 a barrel, while the WTI October contract climbed 92 cents, or 0.96%, to $96.70 a barrel.

The rebound suggests traders need fresh developments on supply risks or diplomatic efforts before pushing prices lower. Ole Hansen, head of commodity strategy at Saxo Bank, said he does not see much further downside in oil prices until there is increased supply through the Strait of Hormuz, particularly refined products.

Tensions remain elevated after Yemen's Iran-backed Houthis attacked Riyadh and a Saudi Aramco facility in Yanbu. Meanwhile, an armed group has closed valve seven on Libya's Sharara crude pipeline, resulting in a significant decline in production at the field.