Oil Prices Spike on Middle East Conflict Fears Despite Peace Talks

Oil prices rose on Tuesday as concerns over potential conflict in the Middle East overshadowed ongoing peace talks between the US and Iran.

The international benchmark Brent crude futures for October traded at $84.64 per barrel, up 1% from the previous close of $83.77, while US benchmark West Texas Intermediate (WTI) futures traded at $80.63 per barrel, up 0.5% from $80.25 in the previous session.

The surge in oil prices was driven by persistent security risks facing commercial shipping and concerns that renewed tensions between Washington and Tehran could disrupt crude shipments through the Strait of Hormuz.

Despite ongoing negotiations supported by Gulf countries, a lasting agreement remains elusive, fueling investor concerns that hostilities could resume.