Oil eases on Middle East diplomacy hopes, Saudi attacks keep supply worries alive
USO•Oil prices edged lower as hopes for a resolution to the US-Israeli war on Iran eased supply fears. Brent fell 0.57% to $115.15 a barrel and US West Texas Intermediate declined 0.43% to $101.32, while attacks on Saudi Arabia and shipping near the Strait of Hormuz limited losses.
1. Prices edge lower
Brent crude futures were down 66 cents at $115.15 a barrel and US West Texas Intermediate was down 44 cents at $101.32 as of 0000 GMT on Tuesday. The potential for a resolution in the conflict weighed on prices, while attacks on Saudi Arabia kept hopes of near-term regional stability in check.
2. Talks and shipping risks
Saudi Arabia, Turkey and Pakistan held talks with Iranian officials in Tehran on Monday, and the four countries agreed to continue discussions on peace and security. October saw the most attacks on commercial shipping in the Strait of Hormuz and nearby waterways since tracking began in 2017. The strait carried around a fifth of the world's energy supplies before the conflict began in February.
