Oil Rises Slightly As Markets Watch US-Iran Tensions

LONDON, July 10 (NNN-dpa) -- Oil prices edged higher on Friday, with Brent crude holding above US$76 a barrel, as investors weighed continued diplomatic efforts to ease tensions between the United States (US) and Iran against concerns over supplies through the Strait of Hormuz, reported German Press Agency (dpa).

Brent crude futures for August delivery rose 0.42 per cent to US$76.62 a barrel in early trading.

The US was continuing to push for a diplomatic solution and technical talks were ongoing, a US government official said.

Qatar, Pakistan and other regional mediators are also seeking to reduce tensions and revive negotiations on a nuclear agreement, US news outlet Axios reported.

The US military has launched multiple waves of strikes against targets in Iran in recent days, saying they were in response to attacks on commercial shipping in the Strait of Hormuz that Washington blamed on Tehran.

Iran retaliated with its own attacks.

As a result, US allies in the Gulf, including Kuwait and Bahrain, as well as Jordan, which hosts key US military facilities, also came under fire.

Shipping through the strategically important Strait of Hormuz has fallen sharply since the fighting resumed.

Traders are now watching production and exports from Gulf producers such as Saudi Arabia, which is expected to announce its monthly crude allocations to customers shortly.

Investors are also awaiting the International Energy Agency's monthly oil market report due later on Friday.

--NNN-dpa