SULAIMANI (ESTA) — Oil prices eased on Tuesday ahead of the resumption of indirect talks between the United States and Iran which may revive a nuclear deal that could lead to the removal of sanctions on Iranian oil sales.
Brent crude was dropped 40 cents to $92.55 a barrel by 0347 GMT, after hitting a seven-year high of $94 on Monday.
U.S. West Texas Intermediate (WTI) crude was down 1 cent at $91.31 per barrel.
The talks on reviving the 2015 Iran nuclear deal, which are taking place in Vienna, will resume on Tuesday after a 10-day pause.
The United States has restored some sanctions waivers, while Iran is demanding a full removal of sanctions and a U.S. guarantee of no further punitive steps.
“Crude oil futures eased lower as the specter of Iranian oil hitting the market weighed on sentiment,” Reuters quoted ANZ Research analysts as saying.
They noted that negotiators had cited “progress” in reaching a deal that would “ultimately restore the nation’s sanctioned oil” to global markets, Reuters reported.
“Nevertheless, more bullish signals continue to emerge for oil,” they added, pointing to Saudi Arabia raising its oil prices and the unexpected shutdown of a U.S. refinery.
