Oil prices fluctuate amid US-Iran tensions and potential diplomatic talks

Global oil markets are experiencing volatility as Brent crude trades near $98 per barrel amid ongoing geopolitical instability. US President Donald Trump announced that Iran has expressed interest in reaching a deal following the breakdown of weekend negotiations in Pakistan. While Trump claims Iran is willing to abandon nuclear ambitions and reopen the Strait of Hormuz, Iranian authorities have not officially confirmed these assertions. The strait remains largely closed due to a naval blockade enforced by the US and Iran, impacting roughly one-fifth of global energy shipments. Additionally, a 10-day ceasefire between Israel and Lebanon was announced, which Israeli Prime Minister Benjamin Netanyahu has confirmed. Energy analysts and the IEA warn that restoring disrupted oil production could take up to two years. Meanwhile, US crude inventories recorded an increase of 6.1 million barrels last week, marking the eighth consecutive weekly rise. US Energy Secretary Chris Wright cautioned that oil prices could reach their peak in the coming weeks.