Oil steadied after rallying almost 8 per cent in three days as investors weighed mixed signals from the White House on Iran and signs that an extension of the Opec+ production cuts may not be a fait accompli.
Futures in New York edged lower after being down as much as 1.2 per cent earlier. President Donald Trump imposed sanctions on Iran’s supreme leader, Ayatollah Ali Khamenei on Monday, while also asking in a tweet why the US is protecting the Strait of Hormuz, the world’s most important oil choke-point. Iran said the US move has shut the path to a diplomatic solution. Russia suggested it’s taking wait-and-see approach on the Opec+ output deal before the G20 summit in Japan at which Trump will meet with Chinese President Xi Jinping. Oil has jumped about 13 per cent since mid-June as rising tension