Oil prices softened on Tuesday, with markets weighing reports of mediation efforts between the U.S. and Iran against an exchange of fresh attacks between the two and threats of a naval blockade of Saudi Arabia by Yemen's Houthis.
Brent crude futures eased 35 cents, or 0.4%, to $88.87 per barrel by 0052 GMT, while U.S. West Texas Intermediate crude for September delivery was steady at $82.47 a barrel. Both contracts were trading below their highest levels in more than a month hit in the previous session.
