Oil prices trading sideways, market focusing on negotiations between the US and Iran.

Crude oil futures fluctuated between slight gains and losses, with the market focused on the US-Iran talks scheduled for Friday. Razan Hilal of Forex.com stated in a report that headline risks remain high after the US shot down an Iranian drone near an aircraft carrier, keeping prices of West Texas Intermediate and Brent crude near six-month highs. However, there is a risk of a significant reversal, "if concerns about oversupply resurface, this is consistent with the International Energy Agency's 2026 forecast and OPEC's recent neutral forecast adjustment." West Texas Intermediate rose 0.1% to $63.26 a barrel, while Brent crude rose 0.2% to $67.49.