Oil prices rebounded on Monday following their first weekly decline in over two months.
U.S.-Iran nuclear negotiations are a primary driver of market volatility as investors weigh potential supply increases.
OPEC+ production struggles continue to tighten the global market regardless of diplomatic developments.
Global energy demand remains robust while inventories at major hubs stay at critically low levels.
📖 Full Retelling
Global oil prices surged on Monday morning after the market recorded its first weekly loss since December, as traders reacted to the complex developments in U.S.-Iran nuclear negotiations and tightening global supply. West Texas Intermediate (WTI) and Brent crude benchmarks saw a significant recovery in international trading sessions following reports that a potential deal between Washington and Tehran might bring Iranian oil back to the market, though immediate supply relief remains uncertain. The price fluctuations occur against a backdrop of increasing energy demand and geopolitical tensions that have kept energy markets volatile since the beginning of the year.
Investors are closely monitoring the diplomatic progress in Vienna, where negotiators are attempting to revive the 2015 nuclear agreement. While the prospect of lifting sanctions on Iranian crude suggests a potential increase in global supply, market analysts remain skeptical about how quickly these barrels can reach the market. The U.S. government's recent decision to restore some sanctions waivers for Iran's civilian nuclear program was seen as a gesture of goodwill, yet it did not provide the full clarity that energy traders required to drive prices lower in the long term.
Furthermore, the current rally is being supported by the persistent inability of some OPEC+ members to meet their increased production quotas. This supply-side constraint, coupled with the ongoing threat of conflict in Eastern Europe and recovering fuel demand in major economies, has created a floor for prices. Despite the brief dip seen last week, the overall trajectory for crude remains bullish as inventories in key trading hubs continue to sit at multi-year lows, leaving the market highly sensitive to any geopolitical or diplomatic shifts.
# Petroleum
**Petroleum**, commonly referred to as **crude oil** or simply **oil**, is a naturally occurring, yellowish-black liquid mixture of organic compounds found in various geological formations beneath the Earth's surface. It is primarily composed of hydrocarbons, though it may also contain ...
International agreement on the nuclear program of Iran
The Joint Comprehensive Plan of Action (JCPOA; Persian: برنامه جامع اقدام مشترک, romanized: barnāmeye jāme'e eqdāme moshtarak (برجام, BARJAM)), also known as the Iran nuclear deal or Iran deal, was an agreement to limit the Iranian nuclear program in return for sanctions relief and other provisions....
Investing.com -- Oil prices rose on Monday after last week’s losses, with the U.S. and Iran signaling they will continue to negotiate over the Middle Eastern country’s nuclear ambitions, signaling a cooling in regional tensions.
