Oil prices rise as Iran talks stall amid strong summer demand

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Oil prices rose on Monday, boosted by strong summer demand and a pause in talks to revive the nuclear deal, which could signal a delay in the resumption of supplies to OPEC member Iran.
Brent crude for August delivery rose 23 cents, or 0.3%, to $73.74 a barrel, and US West Texas Intermediate crude for July delivery recorded $71.94, an increase of 30 cents, or 0.4%.Both benchmarks rose over the past four weeks amid optimism about the pace of global vaccination and an improvement in summer travel, and the recovery pushed premiums for spot crude delivery in Asia and Europe to the highest levels in several months.

“The recovery in demand in the northern hemisphere summer is strong, adding to market concerns about further sharp declines in inventories,” ANZ analysts wrote in a note.

Negotiations to revive the Iran nuclear deal were suspended on Sunday after hardline judge Ebrahim Raisi won the presidential election there, and two diplomats said they expected a pause of about 10 days.





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