Oil futures settled sharply lower Tuesday, following reports that U.S. Secretary of State Mike Pompeo said Iran is ready to enter negotiations over its missile program, easing concerns about tensions between Washington and Tehran that had put the flow of oil in the Middle East at risk.

Oil had been moving higher earlier Tuesday, with U.S. prices briefly touching highs above $60 a barrel, on expectations that U.S. government data due Wednesday will show a decline in weekly domestic crude stockpiles on the back of storm-related disruptions to output.

August West Texas Intermediate crude dropped $1.96, or 3.3%, to settle at $57.62 a barrel, for the lowest finish on the New York Mercantile Exchange since July 5. The downturn followed an earlier Tuesday high of $60.06 and a decline of 1.1% on Monday. International benchmark September Brent lost $2.13, or .2%, to end at $64.35 a barrel on ICE Futures Europe.

Source : Marketwatch