Ammon News - Oil prices rose on Tuesday on ​supply fear, as Iran denied it had talks with the United States to end the war in the ‌Gulf, contradicting U.S. President Donald Trump who said a deal could be reached soon.

Brent futures rose $4, or 4%, to $103.94 a barrel at 0400 GMT, while U.S. West Texas Intermediate (WTI) climbed $3.49, or 4%, to $91.62.

Crude futures dropped more than 10% on Monday, after Trump ordered a five-day delay to ​attacks on Iran's power plants, saying the U.S. had talks with unnamed Iranian officials that produced "major points of ​agreement".

"By shelving the plan to strike Iranian power plants for five days, the U.S. effectively sucked ⁠much of the 'war premium' from the oil price," said KCM Trade chief market analyst Tim Waterer.

"Today's moderate bounce is ​just the market finding its footing in the mud. Traders are aware that while the missiles are on hold, the Strait ​of Hormuz is still far from a clear waterway."

Reuters