Brent Crude trades at $75 per barrel

Brent crude futures were trading around $75 a barrel on Tuesday, buoyed by optimism over strong demand recovery and the breakup of Iran nuclear talks without an agreement.

Ebrahim Raisi, who is subject to US sanctions, won the country’s presidential election, and Tehran claims they must be eliminated as part of an agreement to revive the pact.

The oil market is up more than 50% so far this year, as investors are upbeat about fuel demand recovery this summer, with vaccination programs in Europe and the US allowing more people to travel.

Also, India eased lockdown restrictions following a sustained downtrend in coronavirus infections.

On the supply side, OPEC+ agreed to keep to their plan to gradually ease supply curbs through July, signaling the ongoing strengthening of market fundamentals.

Brent Crude oil is a major benchmark price for purchases of oil worldwide. While Brent Crude oil is sourced from the North Sea the oil production coming from Europe, Africa and the Middle East flowing West tends to be priced relative to this oil.

Source: Trading Economics