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Investing.com - Oil prices dropped though they moved off earlier lows on Monday after Iran agreed to limit its nuclear activities in a deal that may pave the way for more oil exports from the Middle East country.
On the New York Mercantile Exchange, light sweet crude futures for delivery in January traded at USD93.87 a barrel during U.S. trading, down 1.02%.
The commodity hit a session low of USD93.13 and a high of USD94.31. The January contract settled down 0.63% at USD94.84 a barrel on Friday.
Oil futures were likely to find support at USD92.53 a barrel, the low from Nov. 14, and resistance at USD95.59 a barrel, Thursday's high.
Weekend talks among the U.S., Russia, China, Britain, Germany, France and Iran ended in agreement that halted advancements in Iran's nuclear program in exchange for easing economic sanctions against Tehran.
Under the terms of the agreement, Iran will stop enriching uranium beyond 5%, and neutralize its stockpile of uranium enriched beyond that point.
Tehran will also grant more access to its facilities to nuclear inspectors in exchange for no new sanctions for six months.
Iran will also receive sanctions relief worth approximately USD7 billion in trade on oil, auto and airplane parts, gold and precious metals for six months.
Trade sanctions slapped on Iran due to its alleged nuclear ambitions have taken out more than 1 million barrels of oil per day from the global market in the past two years, and the weekend accord sent prices dropping on expectations for increased supply on the global market.
World powers have accused Iran of using its nuclear program to secretly develop nuclear weapons, an assertion the country has consistently denied.
Meanwhile on the ICE Futures Exchange, Brent oil futures for January delivery were down 0.31% at USD110.71 a barrel, up USD16.84 from its U.S. counterpart.
On the New York Mercantile Exchange, light sweet crude futures for delivery in January traded at USD93.87 a barrel during U.S. trading, down 1.02%.
The commodity hit a session low of USD93.13 and a high of USD94.31. The January contract settled down 0.63% at USD94.84 a barrel on Friday.
Oil futures were likely to find support at USD92.53 a barrel, the low from Nov. 14, and resistance at USD95.59 a barrel, Thursday's high.
Weekend talks among the U.S., Russia, China, Britain, Germany, France and Iran ended in agreement that halted advancements in Iran's nuclear program in exchange for easing economic sanctions against Tehran.
Under the terms of the agreement, Iran will stop enriching uranium beyond 5%, and neutralize its stockpile of uranium enriched beyond that point.
Tehran will also grant more access to its facilities to nuclear inspectors in exchange for no new sanctions for six months.
Iran will also receive sanctions relief worth approximately USD7 billion in trade on oil, auto and airplane parts, gold and precious metals for six months.
Trade sanctions slapped on Iran due to its alleged nuclear ambitions have taken out more than 1 million barrels of oil per day from the global market in the past two years, and the weekend accord sent prices dropping on expectations for increased supply on the global market.
World powers have accused Iran of using its nuclear program to secretly develop nuclear weapons, an assertion the country has consistently denied.
Meanwhile on the ICE Futures Exchange, Brent oil futures for January delivery were down 0.31% at USD110.71 a barrel, up USD16.84 from its U.S. counterpart.