SINGAPORE: Oil extended losses on Wednesday as investors waited to see if efforts to end the Iran war and restore traffic through the blockaded Strait of Hormuz were making progress.
Brent crude futures were down 32 cents, or 0.4 percent, to $79.04 a barrel at 09:30 a.m. Saudi time. US West Texas Intermediate futures dropped 58 cents, or 0.8 percent, to $75.19 a barrel.
Both benchmark contracts settled more than 5 percent lower on Tuesday.
Qatar said on Tuesday mediators were making progress in efforts to end the war, driving oil prices lower, although Tehran has denied US President Donald Trump’s assertion that talks are underway. Brent closed below $80 a barrel on Tuesday for the first time since July 13.
“While the immediate geopolitical premium has unwound, the broader supply picture warrants caution,” said Priyanka Sachdeva, head of market insights at Phillip Nova.
