Iran talks steer the oil outlook this week as crude oil holds key support levels and traders assess supply risk, demand trends, OPEC influence and inventory signals.
Oil prices soften as Brent holds $67 resistance, WTI cools near $62, and natural gas consolidates after a sharp rally reversal.
Oil fell in early Asian trade amid possible position adjustments
Energy Secretary Chris Wright said a well supplied global oil market would prevent a big price spike resulting from U.S. tensions with Iran. Low oil prices give President Donald Trump geopolitical leverage as the U.S. threatens strikes against Iran, according to Wright.
The reduction signals further caution as concerns that global supply will outstrip demand continue to weigh on markets.
Oil fell in the morning Asian session amid signs of easing supply risks.
U.S. crude futures extended their decline on Friday, on track for their first weekly drop in weeks, as concerns of supply disruption in the Middle East eased with investors focusing on the outcome of U.S.-Iran nuclear talks in Oman later in the day.
United Steelworkers is asking workers at BP's 440,000-barrel-per-day refinery in Whiting, Indiana, to prepare for a strike or lockout, the union said on Thursday after weeks of negotiations with the British oil major that did not yield results.
Global oil prices continued to seesaw above $60 per barrel on elevated levels of geopolitical risk as the U.S. military build-up continues in the Middle East with Iran being the speculative target.
Crude oil futures ease as diplomacy efforts cap gains, with inventory draws and OPEC production risks supporting the oil outlook in this market analysis.
Prices of commodities, from silver and gold to crude oil and copper, dived on Thursday, as global tensions eased after a telephone call between the leaders of China and the United States, which is also set for talks with Iran this week.
Oil prices surged in January due to supply fears from Iran and Venezuela, but remain volatile and range-bound between $55 and $70 as the market struggles to break above key resistance.