US-Iran Peace Talks Fail to Spark Oil Price Volatility
Oil prices were almost flat in early Asia trade on Thursday following the previous day's gains. Brent crude futures rose by 12 cents or 0.1% to $98.15 a barrel, while US West Texas Intermediate crude was at $90.35 a barrel, down 7 cents or 0.1%. The price movements came after both benchmarks rose about $1 a barrel on Wednesday.
The monthly gains for Brent and WTI were 14% and 5%, respectively. Analyst Toshitaka Tazawa from Fujitomi Securities pointed out that supply concerns due to stalled peace talks between the US and Iran were countered by selling pressure as Middle Eastern oil exports showed signs of recovery.
The resumption of oil tanker loadings from Saudi Arabia's Red Sea port of Yanbu after restarting operations on its East-West Pipeline was a key factor in this recovery. Qatar expressed hope that shuttle diplomacy could lead to a breakthrough, but US President Donald Trump denied reports of potential sanctions relief for Iran.