Oil prices climb as U.S.-Iran talks stir market uncertainty
Oil prices on the New York Fuel Exchange are rising despite rebuilding crude stockpiles in the United States, brokers report.
A barrel of West Texas Intermediate crude for July delivery costs $61.67 on the NYMEX in New York, rising by 0.16 percent. Brent on ICE for July is priced at $64.96 per barrel, after an increase of 0.08 percent.
Crude oil inventories in the USA increased by 1.33 million barrels, or 0.3 percent, to 443.16 million barrels last week, according to the latest report by the U.S. Department of Energy (DoE).
This marks the second consecutive week of rising oil stockpiles across the Atlantic.
Petrol inventories fell by 816,000 barrels, or 0.36 percent, to reach 225.52 million barrels during this period.
Distillate fuel reserves, including heating oil, increased by 579,000 barrels, or 0.56 percent, to 104.13 million barrels, reported the DoE.
Oil demand indicators are weak as the American holiday season approaches.
Investors are closely monitoring the U.S.-Iran nuclear programme negotiations.
U.S. - Iran talks
The Iranian Ministry of Foreign Affairs announced on Wednesday that it has agreed to a fifth round of talks with the United States on the nuclear agreement. The discussions are set to take place on Friday at 2:00 PM GMT in Rome. These were previously announced by Badr al-Busaidi, the Foreign Minister of Oman, who is mediating the negotiations.
Three of the sessions that began in mid-April took place in the capital of Oman, Muscat, and one in Rome.
The agreement aims to limit Iran's nuclear programme in exchange for lifting some sanctions. The USA emphasises that the main goal of the deal is to prevent Iran from developing nuclear weapons. The right of Iran to enrich uranium remains a contentious issue. Tehran insists it will not relinquish this right, while Washington demands it.
Both sides have publicly assured the positive outcomes of the talks. The U.S. President, Donald Trump, announced last week that they are getting closer to reaching an agreement, and Iran has "in a way" already agreed to it.
On Tuesday, Iran's political and spiritual leader, Ayatollah Ali Khamenei, expressed doubt that negotiations would succeed. Similar signals have previously been issued by the Iranian Ministry of Foreign Affairs.
