Oil prices rose today, Monday, after the recent talks between global powers and Iran ended without an agreement, just a day after an OPEC producer elected a new president. Diplomats postponed a sixth round of meetings with significant gaps remaining to repair the agreement, marking the third time since the talks began in April that negotiators have missed their self-imposed deadlines to renew the deal. Reviving the agreement is likely to ease U.S. sanctions and increase crude oil flows.
Crude oil has risen nearly 50% this year as major economies emerged from restrictions and lockdowns following the global rollout of Covid-19 vaccines, leading to a rebound in demand, particularly in the United States and parts of Asia. Oil consumption in China has surpassed pre-pandemic levels, and India is showing signs of recovery from the devastating second wave of the virus that crippled its economy.
Brent crude rose 0.26% to $73.70 on the ICE Futures Europe exchange after a 0.6% increase in the previous session. Meanwhile, West Texas Intermediate crude rose 0.38% to $71.56 a barrel on the New York Mercantile Exchange at 05:25 GMT.
Abbas Araghchi, Iran's chief nuclear negotiator, stated that one of the most pressing issues discussed in the latest round was Tehran's need for a guarantee from the United States that future governments would not withdraw from the agreement again, as former President Donald Trump did in 2018, nor reimpose sanctions.
