Oil prices slipped from a two-year high above $72 a barrel on Monday as investors waited for this week’s Iran nuclear talks that is expected to boost crude supplies.

The downside remained capped by optimism over recovering demand as India’s capital New Delhi and financial hub Mumbai began a gradual easing of restrictions.

Brent crude futures for August settlement fell 46 cents, or 0.6 percent, to $71.43 a barrel, after hitting $72.27, the highest since May 2019 earlier in the day.

U.S. West Texas Intermediate futures for July delivery were down 42 cents, or 0.6 percent, at $69.20 after earlier touching $70 for the first time since October 2018.

Iran and global powers will enter a fifth round of talks on June 10 in Vienna that could include Washington lifting economic sanctions on Iranian oil exports.

While the European Union envoy coordinating the negotiations had said he believed a deal would be struck at this week’s talks, other senior diplomats have said the most difficult decisions still lie ahead.

Data showing a drop in China’s crude oil imports in May also weighed on prices.

China’s crude oil imports in May dipped 14.6 percent year-on-year from a high base last year, with maintenance at refineries limiting consumption of the raw material.

The material has been provided by InstaForex Company – www.instaforex.com

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