Black gold traded lower at the opening of the Asian session, after oil prices fell from a nearly 2 -year high in the previous session following reports of a U.S. -Iran nuclear deal.
Washington and Tehran have reportedly made progress in reviving agreements restricting Iran’s development of nuclear weapons, which would increase crude oil supplies.
Prices plummeted after Russia’s ambassador to the United Nations (UN), Mikhail Ulyanov said that significant progress had been made in talks between the two sides.
However, the decline came to a halt after he said on his Twitter page that negotiators needed more time to finalize the deal as there were still many issues to be discussed.
After falling more than $ 2 a barrel in the previous session, Brent crude oil trading continued to decline lower around $ 67.43 a barrel in the Asian session. Meanwhile US WTI crude fell to $ 64.43 a barrel.
If the US lifts sanctions on Iran again, the country could further increase oil shipments and this in turn will increase global supply.
In addition, the decline in prices was also affected by a report from the American Petroleum Institute (API) which reported that US crude oil supplies increased by 620,000 barrels last week.
