Crude oil prices started the week with a decline, on track for a second weekly loss due to fading U.S.-Iran escalation fears. Brent crude traded at $67.36 per barrel, while West Texas Intermediate stood at $62.66 per barrel, unchanged from Monday but down from previous levels.

U.S. indications of seeking more time for a nuclear deal with Iran have reduced geopolitical risk, leading to oil price pressure. ING analysts highlighted OPEC and EIA data showing an increase in oil inventories and production, with the market largely ignoring the EIA data.

OPEC maintained demand growth projections for 2026, with daily production falling by 439,000 barrels due to disruptions in Kazakhstan. However, the International Energy Agency’s monthly report caused a 3% oil price drop, revising demand growth predictions down to 850,000 barrels daily.

The IEA foresees a surplus in the oil market in 2026, with supply set to rise by 2.4 million bpd to 108.6 million bpd. Global oil supply decreased by 1.2 million bpd to 106.6 million bpd last month due to disruptions in North America and Kazakhstan.

Read more at Yahoo Finance: Oil Prices Tumble Toward Second Consecutive Weekly Loss