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Oil prices hold three-day decline amid Middle East diplomatic hopes

Oil prices held most of a three-day decline as optimism grew over a potential diplomatic solution between the US and Iran to end the Middle East war, now in its sixth month.

Oil prices held most of a three-day decline as optimism grew over a potential diplomatic solution between the US and Iran to end the Middle East war, now in its sixth month. West Texas Intermediate (WTI) crude rose above $80 a barrel after falling 14% over three sessions, while Brent crude closed near $84 on Tuesday, according to livemint.com.

The price movement followed a meeting in Washington between US President Donald Trump and Israeli Prime Minister Benjamin Netanyahu. The US leader aimed to prevent renewed bombing in Iran, with Israel, a key participant in the conflict since February, signaling a preference for negotiations. An Israeli spokesman said all parties favored the “easy way,” meaning a negotiated settlement, as reported by livemint.com.

The decline in oil prices reflects easing tensions in a conflict that has significantly impacted global energy markets. The Middle East war has been a major factor driving oil volatility since its onset. This shift towards diplomacy could stabilize supply concerns that had pushed prices higher earlier in the year. Brent and WTI are key benchmarks influencing energy costs worldwide, including in India’s import-dependent market.

Oil prices will continue to be closely watched as diplomatic efforts progress. The next major market update will come with the US Energy Information Administration’s weekly petroleum status report scheduled for July 30, which will provide fresh data on supply and demand amid the evolving geopolitical situation, according to livemint.com.

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