Oil prices stay flat as markets weigh US-Iran talks and Middle East supply

Crude prices remain calm

Oil prices showed little movement in early trading on Thursday after both major benchmarks gained about $1 a barrel in the previous session. The oil market remained calm as investors weighed developments in US-Iran peace talks and the recovery in Middle East crude exports.Around 7 am IST, WTI Crude was trading at $90.16 a barrel, down 26 cents, or 0.29%, while Brent Crude stood at $97.93 a barrel, lower by 10 cents, or 0.10%.The largely flat session came after a strong September for oil prices. Brent has gained around 14% this month, marking its biggest monthly rise since July. WTI, meanwhile, has advanced about 5% over the month.Markets are also assessing the outlook for crude supplies from the Middle East as they track the latest developments around US-Iran peace talks.

The movement in prices remained limited in early Thursday trading despite the gains recorded by both benchmarks in the previous session.The direction of WTI could depend on developments around the US-Iran negotiations. A new catalyst, such as progress in peace negotiations, will be needed for WTI to break below the immediate support level of $88 a barrel, he added.Qatar on Tuesday said that it hoped shuttle diplomacy between Tehran and Washington could result in a breakthrough.

The comments came as uncertainty continued around the possibility of a deal between the two countries.US President Donald Trump, meanwhile, denied reports from Axios and CNN that cited US officials as saying he was prepared to offer Iran sanctions relief and release frozen Iranian funds in exchange for "concrete" steps from Tehran on its nuclear programme.The oil market is also tracking the pace at which supplies from the region are returning.

Saudi Arabia resumed oil tanker loadings from Yanbu on Tuesday after restarting its East-West Pipeline.Gulf exports have also recovered, according to Goldman Sachs. The bank estimated that Gulf oil exports, including "dark exports" involving ships operating with their location transponders turned off, had reached 23.3 million barrels per day over the last week. That is in line with the 2025 average, while exports doubled in September, Goldman Sachs said in a note on Tuesday.Production policy is another factor in focus ahead of the OPEC+ meeting on Sunday. Two people with knowledge of the matter told Reuters that OPEC+ oil-producing countries are likely to leave their November oil production targets unchanged.US inventory data offered a mixed picture for the market. Crude stocks increased by 922,000 barrels to 427.3 million barrels in the week ended September 25, the Energy Information Administration said. At the same time, fuel inventories fell sharply, with the decline coming amid strong seasonal and global demand.