Oil prices edged higher in early trading on Tuesday after several sessions of declines, as the market turned cautious ahead of potential talks between the United States and Iran at the United Nations General Assembly.
As at the time of writing, 04:48 am (WAT), Brent crude was trading at $101.40 per barrel, up 1.02%, while WTI crude stood at $93.11 per barrel, gaining 0.80%.
The modest recovery follows a sharp sell-off that pushed crude prices lower in the previous session, with traders now assessing whether possible diplomatic engagement between Washington and Tehran could ease geopolitical risk and improve supply expectations.
The immediate price response remains measured, with market participants weighing the prospect of US-Iran engagement against continuing tensions in the Middle East. President Donald Trump has indicated that he would be open to meeting Iranian President Masoud Pezeshkian, who is expected in New York for the UN General Assembly.
For Nigeria’s downstream market, the movement in international crude remains a key pricing variable, particularly as domestic refiners and marketers continue to operate within a market exposed to changes in global feedstock costs. Brent’s return above $100 per barrel also keeps the crude benchmark firmly in focus for near-term petroleum product pricing.
The market is therefore likely to remain highly responsive to developments around the potential US-Iran talks, with any clear progress or deterioration in the diplomatic track capable of influencing crude direction.