Crude Oil Prices Climb Amid Ongoing US-Iran Diplomatic Talks, Brent Near $95 per Barrel.

Global Oil Markets Remain Volatile Amid Ongoing Middle East Tensions

Oil prices maintained their strong gains from the previous session during early trading on Tuesday, June 2, as uncertainty surrounding ceasefire negotiations between the United States and Iran continued to support the market. The uncertainty surrounding the Strait of Hormuz reopening also contributed to the price surge.

Market Updates

Brent crude futures rose 6 cents, or 0.06%, to $95.04 per barrel, while U.S. West Texas Intermediate (WTI) crude slipped 17 cents, or 0.18%, to $91.99 per barrel. Both benchmarks had surged more than 5% in the previous session but trimmed their gains after US President Donald Trump said he had received no information indicating that Iran was halting negotiations with Washington, while Israel had agreed to withdraw troops that were reportedly preparing for an attack in southern Lebanon.

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Crude Oil Prices on Multi Commodity Exchange (MCX)

Crude oil prices on MCX witnessed a downward movement, falling as much as 0.16% to ₹8,725 per barrel.

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Crude Oil Price Outlook

According to Kaynat Chainwala, AVP Commodity Research, Kotak Securities, oil markets have already experienced a substantial repricing of geopolitical risk. Brent crude fell roughly 11% last week to near $91/bbl and recorded its steepest monthly decline since 2020, losing 19% in May. WTI also dropped more than 9% last week to approximately $87/bbl following reports of ceasefire progress.

Kaynat Chainwala, AVP Commodity Research, Kotak Securities, expects continued headline-driven volatility in the market until a deal is finalized and verified.

Technical Outlook

Ponmudi R, CEO of Enrich Money, said that MCX crude oil is trading above the ₹8,500 level, staging a technical bounce near the lower end of the ascending trendline structure that continues to provide structural support. Immediate resistance stands at ₹8,625–₹8,650, while a break below ₹8,450–₹8,390 could extend the decline toward ₹8,300–₹8,250.