Brent crude prices moved higher in Monday morning trading as markets digested reports that the United States and Iran have agreed to cease hostilities.
The development follows a weekend of military strikes that had raised fears of a broader escalation in the region.
Crude oil prices maintained their upward momentum as traders assessed the implications of the truce.
The agreement aims to preserve an interim peace deal that had been threatened by the recent military actions.
While the immediate risk of expanded conflict has receded, the halt in attacks has not eliminated supply concerns, keeping a floor under energy prices.
The ceasefire comes after a period of heightened volatility in global energy markets.