Oil prices fell on Tuesday as investors booked profits from the highest oil price levels in almost eight years, although concerns over tighter supply due to tensions in Ukraine limited losses.
International benchmark Brent crude was trading at $95.81 per barrel at 0651 GMT with a 0.69% loss after closing the previous session at $96.48 a barrel.
American benchmark West Texas Intermediate (WTI) traded at $94.73 per barrel at the same time for a 0.76% decrease after ending the previous session at $95.46 a barrel.
The US on Friday warned of an imminent attack by Russia on Ukraine and urged Americans stationed there to leave in 48 hours. Also, some reports claim that Russia could attack Ukraine on Wednesday.
Amid the mounting geopolitical risks triggering concerns over tighter supply, prices rose to new seven-year-highs during the previous trading session and increased investor appetite for profit-taking.
A possible return of Iranian barrels to the market continues capping a further price increase.
Iran said on Monday that an agreement to resurrect a 2015 nuclear deal with world powers was 'close at hand,' but also cautioned that sanctions must be 'truly lifted' during the ongoing talks in Vienna.
After months of on-off talks, EU Foreign Policy Chief Josep Borrell boosted hopes of a new agreement.
'I strongly believe an agreement is in sight,' he said on Twitter, after a call with Iran's foreign minister Hossein Amirabdollahian.
“It’s better for Iran if there’s an agreement in Vienna and sanctions are lifted today rather than tomorrow,” said Amirabdollahian in a news conference with his Irish counterpart Simon Coveney in Tehran on Monday.
“So we are in a hurry for a good agreement, but it must be within the framework of logical talks and to achieve the rights of the Iranian nation,” he added.
By Sibel Morrow