US-Iran Talks Ease Oil Supply Concerns, Prices Fall

Oil prices declined on Tuesday as concerns over supply disruptions eased following reports of potential US-Iran talks.

The US and Iran have left the door open for dialogue after tense negotiations, with negotiating teams possibly returning to Islamabad later this week, according to five sources cited by Reuters.

Oil benchmarks fell in response: Brent futures dropped 64 cents (0.6%) to $98.72, while US West Texas Intermediate crude declined $2.43 (2.5%) to $96.65.

The International Energy Agency (IEA) had previously cut its forecasts for global oil supply and demand growth, citing a sharp decline in 2026 projections of 1.5 million barrels per day.