Oil at six-month high with nuclear talks and US tariffs in focus
FILE PHOTO: Oil platforms and pumpjacks at Lake Maracaibo, in Cabimas, Venezuela, January 26, 2026. REUTERS/Leonardo Fernandez Viloria/File Photo
NEW YORK, Feb 23 : Oil prices eased on Monday but remained at a six-month high ahead of a third round of nuclear talks between the U.S. and Iran, and amid increased economic uncertainty after the latest U.S. tariff upheaval.
Brent crude futures settled 27 cents, or 0.38 per cent, at $71.49 a barrel, while U.S. West Texas Intermediate crude fell 17 cents, or 0.26 per cent, to $66.31.
Iran has indicated it is prepared to make concessions on its nuclear program in return for sanctions lifting and recognition of its right to enrich uranium.
U.S. envoys Steve Witkoff and Jared Kushner will meet with an Iranian delegation on Thursday in Geneva, a senior U.S. official said on Monday.
"That seemed to suggest that they are more open to talking about their nuclear program," said Phil Flynn, an analyst at Price Futures Group. However, the risk of an attack on Iran is still high, he said.
Growing concern over potential military conflict between the U.S. and Iran pushed Brent prices up more than 5 per cent last week to their highest since July 2025 at $72.34.
TRUMP TARIFF UNCERTAINTY
A U.S. Supreme Court ruling last week struck down key parts of President Donald Trump's tariff plans, rekindling uncertainty among investors and businesses.
Tariff uncertainty following Friday's Supreme Court ruling sagged the equity markets and oil markets followed, said Bob Yawger, director of energy futures at Mizuho. "Tariffs are going to be a disaster for the near future. Nobody really knows what's going on or how long it is going to go on."
The U.S. Customs and Border Protection agency said it would halt collections of tariffs imposed under the International Emergency Economic Powers Act at 12:01 a.m. EST (0501 GMT) on Tuesday.
However, Trump said on Saturday that he would raise a temporary tariff from 10 per cent to 15 per cent on U.S. imports from all countries, the maximum allowed under the law.
In the U.S., another winter storm is sweeping through the northeast part of the country, pushing the diesel crack spread up about 5 per cent on Monday.
