Oil prices edged lower in the global commodity market on Monday, pressured by concerns about oversupply following renewed talks of a potential nuclear deal between Washington and Tehran.

International benchmark Brent crude fell by around 0.53%, trading at $64.18 per barrel, down from $65.41 at the previous session’s close on Friday. Similarly, US benchmark West Texas Intermediate (WTI) crude was $61.64 per barrel at the same period.

The price fluctuation is influenced by uncertainties surrounding the U.S. Federal Reserve’s monetary policy strategies, peace negotiations between Russia and Ukraine, and reports suggesting an increase in global oil supply.

The US’s new nuclear proposal to Iran in the latest round of talks affected oversupply worries on the markets. Additionally, although trade tensions between the US and China have temporarily eased, questions remain regarding the outcomes of US President Donald Trump’s “America First” economic and trade policies.

The International Energy Agency (IEA) for an increase in global oil supply this year has also exerted downward pressure on prices.

According to the IEA’s Oil Market Report, global oil supply increased by approximately 160,000 barrels per day in April compared to the previous month, reaching 104.46 million barrels per day.

Meanwhile, the oil rig count in the US decreased by 1 this week, according to the latest data released by oilfield services company Baker Hughes on Friday. The number of oil rigs, an indicator of short-term production in the country, fell to 473 for the week ending May 16.

The oil rig count in the US decreased by 1 this week, according to the latest data released by oilfield services company Baker Hughes on Friday. The number of oil rigs, an indicator of short-term production in the country, fell to 473 for the week ending May 16. The number of US oil rigs dropped by 24 compared to one year ago.

#Oil Prices Edge Lower Over Demand, Supply Imbalance Global Economy Stands at Fragile Turning Point -UN