Oil prices rose slightly on Tuesday as investors waited for the outcome of diplomatic talks in Tehran, Iran. Renewed attacks by Yemen’s Houthi group on Saudi Arabia also raised concerns about risks to oil supplies.
She added that some investors booked profits earlier in the session as they hoped for progress in talks between the US and Iran, Reuters reported. Crude oil exports from the Gulf region declined for a fourth consecutive week. Low oil stocks and lower oil supplies could increase concerns about fuel shortages.
At the same time, oil flows through the Strait of Hormuz stood at around 60% of their normal level, according to an ANZ Research note cited by Reuters. Global inventories of distillates, a group of fuels that includes diesel, remained nearly 5% below their five-year average, according to ANZ Research. Because of ongoing geopolitical uncertainty, sugandha Sachdeva, founder of New Delhi-based research firm SS WealthStreet, said oil prices remained high.
