Brent crude edged down toward $88 per barrel on Tuesday, easing from a five-week high as optimism grew that peace talks between the US and Iran could resume following several days of escalating attacks. Mediators on Monday pressed both sides to agree to a renewed ceasefire, with reports indicating that a 10-day truce was under consideration.
Despite the pullback, oil prices have rallied sharply this month amid continued US strikes on Iran for a tenth straight day and ongoing retaliatory attacks by Tehran on neighboring countries. Tensions escalated further after President Donald Trump warned that Iran would be held responsible for the deaths of three US service members. In a separate development, Iran-backed Houthi militants declared a maritime embargo against Saudi Arabia, heightening concerns over potential disruptions to energy shipments through the Red Sea.
