Oil prices staged a modest recovery on Tuesday, bouncing back from a sharp decline in the previous session as market sentiment shifted toward tempered optimism regarding U.S.-Iran peace negotiations.
The rebound reflects a cautious recalibration by traders who had previously priced in a more immediate resolution to the conflict that has disrupted regional shipments.
Brent crude futures ticked higher in early trade, reversing some of the losses seen earlier in the week.
The move underscores the market's sensitivity to geopolitical developments, with investors closely monitoring any signs of progress in the stalled peace talks.
Despite the slight uptick, uncertainty remains high, and the broader trend is still influenced by the ongoing risk of supply disruptions in the Middle East.
The diplomatic stalemate between the U.S. and Iran continues to weigh on market sentiment, with traders balancing the potential for a ceasefire against the reality of continued hostilities.