Brent crude futures for November delivery rose 0.6% to $100.89 a barrel as of 21:15 ET on Tuesday, while U.S. West Texas Intermediate crude for October gained 0.4% to $96.19 a barrel, marking the first sessions in four where prices failed to extend losses.
The modest rebound followed a sharp sell-off on Monday, when Brent settled 3.4% lower and WTI dropped 4.5%, both benchmarks closing at their lowest levels since Sept. 9.
Investors turned their attention to potential U.S.-Iran negotiations on the sidelines of the United Nations General Assembly in New York. Iranian President Masoud Pezeshkian is expected to attend, and President Donald Trump has signaled openness to a meeting. Iran has conveyed conditions for re-engaging in talks through intermediaries, according to the source material.
Supply concerns saw some relief after satellite data cited by Reuters indicated that Saudi Arabia had increased crude shipments through the Strait of Hormuz, averaging roughly 2.9 million barrels per day over the preceding six days — a noticeable uptick from August levels. The increase followed disruptions to Saudi Arabia's East-West pipeline.
Nevertheless, risks to the region's energy corridors persist. Yemen's Iran-aligned Houthi group continues to carry out attacks on Saudi targets, constraining certain export routes. Britain has agreed to provide limited military support to Saudi Arabia in response.
Separately, the Trump administration has proposed a $5 billion fund aimed at helping Middle Eastern countries rebuild energy infrastructure damaged during the Iran war and reduce reliance on the Strait of Hormuz, the Wall Street Journal reported.
On the demand side, traders are monitoring an upcoming meeting between Trump and Chinese President Xi Jinping. China remains the world's largest oil importer, making its economic trajectory and trade dynamics critical variables for crude demand forecasts.
