By: Creamer media

Oil prices rose on Tuesday, nearing seven-month highs, with traders assessing geopolitical risks ahead of another round of U.S.-Iran nuclear talks, while U.S. trade policy uncertainty added to broader concerns. 

Brent crude futures rose 41 cents, or 0.58 percent, to $71.52 a barrel, while U.S. crude futures climbed 40 cents, or 0.60 percent, to $66.71 a barrel. Brent is trading at its highest since July 31, while WTI is at its firmest since August 1.

Diplomatic tensions and nuclear negotiations

Iran and the U.S. will hold a third round of nuclear talks on Thursday in Geneva, Oman’s Foreign Minister Badr Albusaidi said on Sunday. The United States wants Iran to give up its nuclear programme, but Iran has adamantly refused, and denied it is trying to develop an atomic weapon. The State Department is pulling out non-essential government personnel and their families from the U.S. embassy in Beirut, a senior State Department official said on Monday, amid growing concerns about the risk of a military conflict with Iran. U.S. President Donald Trump said in a social media post on Monday that it will be a “very bad day” for Iran if it does not make a deal.

Trade policy and tariff warnings

On the trade policy front, Trump on Monday warned countries against backing away from recently negotiated trade deals with the U.S. after the Supreme Court struck down his emergency tariffs, saying that he would hit them with much higher duties under different trade laws. Trump said on Saturday he would raise a temporary tariff from 10 percent to 15 percent on U.S. imports from all countries, the maximum level allowed under the law.