Oil prices steady on Monday as investors focus on two big global issues. The first is Iran-U.S. nuclear talks. The second is key economic data from China. These factors shape how markets expect future demand for oil.
Brent crude slipped by 5 cents to trade at $65.36 per barrel in early trade. U.S. West Texas Intermediate (WTI) crude gained 3 cents, reaching $62.52 per barrel. However, the more active July contract dropped slightly by 4 cents to $61.93.
Both crude benchmarks rose over 1% the previous week. That followed a deal between the U.S. and China. These two top oil consumers agreed to pause their trade war for 90 days. This truce eased fears and boosted market optimism.
Later today, China will release economic indicators, including industrial output. These numbers may affect oil demand projections. Any weak data from China could hurt positive market sentiment. That’s because China remains a top buyer of global commodities.
Oil prices steady even as uncertainty surrounds nuclear talks with Iran. U.S. envoy Steve Witkoff stated Iran must halt uranium enrichment for a deal to move forward. Iran quickly rejected this demand, increasing tensions.
Many analysts believe Iran won’t abandon its nuclear plans easily. They argue that Iran sees its nuclear program as vital. Moreover, Iran may feel more isolated after recent losses among its regional allies.
Meanwhile, in Europe, tensions rose after Russia detained a Greek-owned oil tanker. The ship had left an Estonian port before being seized. This move added to geopolitical concerns already weighing on markets.
In the U.S., energy companies are also showing caution. American oil producers reduced the number of active rigs by one last week. This brings the total to 473, the lowest since January. Companies are cutting costs and slowing output growth.
Oil prices steady as markets digest a mix of global headlines. From nuclear diplomacy to trade policies and economic signals, each factor matters. Investors remain cautious but active. They closely monitor developments that could sway energy markets further.