Oil prices seesaw amid renewed diplomatic efforts to end Mideast conflict

Key points

• Brent crude rose 0.52% to $116.45 a barrel and U.S. West Texas Intermediate rose 0.62% to $102.39, reversing earlier losses.
• Saudi Arabia, Turkey, Pakistan and Iranian officials met in Tehran on Monday to ease Middle East tensions and keep diplomatic channels open.
• President Donald Trump said in a Fox News interview on Sunday that he was nearing a decision on a deal with Iran or intensified military operations.

Oil prices edged higher Tuesday after falling earlier on renewed diplomatic efforts to end the U.S.-Iran war and hopes of de-escalation in the wider regional conflict.

Brent crude for December delivery rose 0.52% to $116.45 a barrel as of 4:57 a.m. ET, while U.S. West Texas Intermediate for June rose 0.62% to $102.39 per barrel.

Diplomatic push in Tehran

Officials from Saudi Arabia, Turkey, Pakistan and Iran met in Tehran on Monday to step up efforts to defuse tensions across the Middle East. Riyadh said the talks aimed to keep diplomatic channels open and prevent another escalation in hostilities.

According to Iranian state media, the four countries agreed to keep engaging to advance regional peace and security. Representatives from Qatar, which has helped mediate between Washington and Tehran, also traveled to the Iranian capital on Sunday, Reuters reported.

diplomatic channels open

— Riyadh

Trump weighs options

U.S. President Donald Trump said in a Fox News interview on Sunday that he was approaching a decision on whether to strike a deal with Iran or intensify military operations, indicating further attacks remained possible.

Hopes of a diplomatic breakthrough have eased fears of more disruption to global energy supplies and pushed crude prices down earlier. Those losses were limited, however, because the prospect of a lasting resolution appeared fragile, with Iran-backed Houthi militants continuing attacks on Saudi Arabia over the weekend.