(Feb 3): Oil steadied after dropping the most in six months in the previous session on easing geopolitical risks and a broader commodities sell-off.
West Texas Intermediate (WTI) traded near US$62 a barrel after plunging 4.7% on Monday (Feb 2) while Brent futures settled above US$66. US President Donald Trump said talks with Iran over a new nuclear deal could begin within days after Tehran signalled it was ready to engage.
Crude was also hit as commodities — particularly metals — came under intense selling pressure. Gold fell as much as 10% on Monday and copper at one point dropped more than 5%, as they continued a retreat that started on Friday.
The precipitous drop in oil prices came after WTI’s biggest monthly gain since 2023, which was supported by broad-based flows into commodities. The prospect of conflict with Iran and pockets of supply disruption led to a surprisingly tight first month of the year against a wider backdrop of elevated supplies.
Elsewhere, Trump said he will cut tariffs on India to 18% after Indian Prime Minister Narendra Modi agreed to stop buying Russian oil. Shipments of Moscow’s crude to Indian ports have tumbled toward the lowest in more than three years, contributing to a growing pool of unsold sanctioned barrels across the globe.
Prices:
See also: Slew of announcements should buoy spirits of Rex International shareholders
- WTI for March delivery was little changed at US$62.25 a barrel at 7.18am in Singapore.
- Brent for April settlement slid 4.4% to settle at US$66.30 a barrel on Monday.
Uploaded by Arion Yeow
