Oil prices declined on Tuesday before deadlocked talks between major producers about potential changes in February output are set to continue later in the day.
The majority of OPEC+ members were reportedly in favor of maintaining the January production quotas into February, but were unable to budge Russia from its position that the coalition should increase crude production by 500,000 bpd in the month, S&P Global Platts reported.
Traders were cautious about global crude demand after the UK went into a new lockdown Monday while German lawmakers agreed to extend social restrictions until the end of January.
Meantime, tensions in the Middle East heightened after news that Iran’s Revolutionary Guards Corps Monday seized a South Korean-flagged tanker in Gulf waters and detained its crew.
At around 07:00 AM GMT, WTI crude fell 0.2% to $47.54 a barrel, while Brent crude was down 0.3% to $50.95 a barrel.