Oil rises as Iran says war deal remains distant, US strikes Qeshm

Oil prices climbed on Tuesday after falling sharply a day earlier, as uncertainty over a US-Iran settlement returned and the United States struck Iran’s Qeshm Island. Business Recorder reported that by 1043 GMT, Brent had gained $1.36, or 1.3%, to $106.13 a barrel, while West Texas Intermediate rose $1.45, or 1.5%, to $97.91.

Both benchmarks had lost more than 7% on Monday amid hopes raised by talks involving Iranian and Qatari officials. A senior Iranian official said Tehran and Washington remained far from an agreement, while Qatar said mediation was continuing and proposals were under review. ING cautioned that escalation risks remained, and said stronger signs of progress in peace negotiations could put further downward pressure on prices. Separately, a drone attack damaged a refinery in Russia, while Russia also struck Ukrainian energy facilities.