Benchmark Brent crude prices rose 0.6% at 67.11 per barrel, while U.S. West Texas Intermediate crude prices gained 0.6% at $65.65 per barrel at 6.02 GMT.
President Donald Trump said on Wednesday the United States will hold nuclear talks with Iran next week, following devastating U.S. air strikes that intelligence officials say "severely damaged" Tehran's nuclear capabilities.
US markets closed mixed on Wednesday, tech shares lifted Nasdaq while S&P 500 remained flat. Fed Chair Powell reiterated wait-and-see approach. Asian markets mostly up, European markets also positive with oil prices steady.
According a report by The Wall Street Journal, discussions between Shell and BP are progressing slowly and remain preliminary, with no guarantee of a deal.
Oil prices such as United States Brent Oil Fund (NYSE: BNO) and the United States Oil Fund (NYSE: USO) are trading lower Tuesday. The selloff follows news that a tentative ceasefire between Israel and Iran may be in effect, reducing immediate concerns over further military escalation in the oil-rich Middle East region.
West Texas Intermediate crude oil futures traded 5.4% lower at $64.81 per barrel at the time of writing, while Brent crude oil futures fell 5.5% to $66.64 per barrel.
U.S. President Donald Trump’s warning comes after Israeli Defence Minister Israel Katz announced that he had ordered retaliatory strikes on Tehran after Iran continued bombing after a ceasefire was declared.
Brent crude prices were down 2.5% at $68.79 per barrel, while U.S. West Texas Intermediate crude prices were down 2.5% at $66.78 per barrel at 2.27 am GMT.
U.S. futures markets are rallying on Monday night, after President Donald Trump announced a "ceasefire timeline" for the conflict between Iran and Israel.
U.S. West Texas Intermediate (WTI) futures traded 6% lower at $69.41 per barrel at the time of writing, while Brent futures fell 5.6% to $71.25 per barrel.
Earlier, a Reuters report stated that while Iran is open to discussing limitations on uranium enrichment, it won’t do so while it’s under fire from Israel.
