Oil Retreats On The Possibility Of Iran Supply Boost

According to the report of market research companies oil prices soaked in early trade on Tuesday on the latest development in last-ditch talks to revive the 2015 Iran nuclear accord, which would clear the way to hike its crude exports in a tight market. Brent crude futures fell 27 cents, or 0.3%, to $96.38 a barrel at 0027 GMT, paring a 1.8% gain from the previous session.

U.S. West Texas Intermediate (WTI) crude futures fewer 24 cents, or 0.3%, to $90.52 a barrel, after rising 2% in the previous session.

The spectre of a U.S.-Iran nuclear deal continues to hover over the market research analysts said in a note.

The European Union late on Monday put forward a “final” text to arouse the 2015 Iran nuclear deal, awaiting confirmation from Washington and Tehran.

Iran could boost its oil exports by 1 million-1.5 million barrels per day, or up to 1.5% of global supply, in six months.

Traders will be watching out for weekly U.S. oil inventory data, first from the American Petroleum Institute on Tuesday and then the Energy Information Administration on Wednesday.

Five analysts polled by Reuters expect crude stockpiles fell by around 400,000 barrels and gasoline stockpiles declined also by about 400,000 barrels in the week to Aug.


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