Brent crude futures climbed 0.2% to $78.03 a barrel on Tuesday, marking a recovery for energy markets after the United States lifted sanctions on Iran.
The move signals a shift in market sentiment as traders recalibrate supply expectations following the policy change.
The rebound in oil comes after global prices retreated on Monday, driven by reports of progress in peace negotiations between US and Iranian officials.
That earlier sell-off had sparked relief across energy markets, with investors pricing in a potential easing of geopolitical tensions.
However, the lifting of sanctions has introduced a new dynamic, supporting higher prices despite the diplomatic breakthrough.
Asian equity markets largely traded lower in early Tuesday sessions, with Japan's Nikkei declining 0.5% and South Korea's Kospi also under pressure.