Oil Edges Higher as Traders Assess Outlook for Iran Nuclear Deal

Oil rose as traders weighed the prospect for an Iranian nuclear deal, with US President Donald Trump saying he prefers a diplomatic solution but warned of consequences if an agreement wasn’t reached.Author of the article:You can save this article by registering for free here. Or sign-in if you have an account.(Bloomberg) — Oil rose as traders weighed the prospect for an Iranian nuclear deal, with US President Donald Trump saying he prefers a diplomatic solution but warned of consequences if an agreement wasn’t reached.Subscribe now to read the latest news in your city and across Canada.Subscribe now to read the latest news in your city and across Canada.Create an account or sign in to continue with your reading experience.Create an account or sign in to continue with your reading experience.Brent climbed above $72 a barrel after closing slightly lower on Monday, while West Texas Intermediate was near $67. Trump said in a social media post it will be a “very bad day” for Iran if a deal isn’t agreed, and pushed back on reports the Pentagon was worried an extended military campaign may prove difficult.Negotiations on a nuclear deal are set to resume on Thursday in Geneva, with Trump’s special envoy Steve Witkoff and son-in-law Jared Kushner expected to meet again with Iranian Foreign Minister Abbas Araghchi.Get the latest headlines, breaking news and columns.By signing up you consent to receive the above newsletter from Postmedia Network Inc.A welcome email is on its way. If you don't see it, please check your junk folder.The next issue of Top Stories will soon be in your inbox.We encountered an issue signing you up. Please try againInterested in more newsletters? Browse here.Concerns about the fallout from a US strike on Iran have helped to drive futures higher this year, despite expectations of a global glut. American military forces have massed in the Middle East, and the State Department on Monday ordered the evacuation of non-emergency personnel at its embassy in Beirut.“Oil markets are in a holding pattern pending updates on the Iran situation, with a healthy dose of skepticism being placed on any de-escalatory rhetoric,” said Saul Kavonic, senior energy analyst at MST Marquee. The US military build-up has added a risk premium of around $10 per barrel to prices, he said.Any disruption by Tehran to shipping through the Strait of Hormuz remains the primary focus for the oil market should the US go ahead with a military strike. Tankers carrying crude and liquefied natural gas transit through the narrow waterway daily to deliver cargoes to customers worldwide.A recent closure of parts of Hormuz for Iranian military drills has contributed to higher rates for oil supertankers. Hiring a very large crude carrier for a year now costs more than $92,000 a day on average, according to Clarksons Research Services Ltd., the highest in data going back to 1988.Postmedia is committed to maintaining a lively but civil forum for discussion. Please keep comments relevant and respectful. Comments may take up to an hour to appear on the site. You will receive an email if there is a reply to your comment, an update to a thread you follow or if a user you follow comments. Visit our Community Guidelines for more information.365 Bloor Street East, Toronto, Ontario, M4W 3L4© 2026 Financial Post, a division of Postmedia Network Inc. All rights reserved. Unauthorized distribution, transmission or republication strictly prohibited.This website uses cookies to personalize your content (including ads), and allows us to analyze our traffic. Read more about cookies here. By continuing to use our site, you agree to our Terms of Use and Privacy Policy.You can manage saved articles in your account.and save up to 100 articles!You can manage your saved articles in your account and clicking the X located at the bottom right of the article.