Rising oil prices supported by supply concerns and geopolitical disruptions.

Global oil markets witnessed a rise in prices on Tuesday, June 3, supported by concerns over supply disruptions, escalating geopolitical tensions, and the seasonal impact on production.

Brent crude rose by about 23 cents (0.36%) to reach $64.86 per barrel, while U.S. West Texas Intermediate crude increased by 28 cents (0.45%) to $62.80 per barrel, after early gains of 1% during the session.

Part of this increase is attributed to the decision by the "OPEC+" alliance to maintain the production increase for July at 411,000 barrels per day, the same level adopted in the past two months, easing some of the market's pessimistic expectations.

In a related context, recent statements by an Iranian diplomat raised new concerns after announcing Iran's rejection of the U.S. proposal to revive the nuclear agreement, describing it as not considering Iran's interests and not including any easing of Washington's stance on uranium enrichment. Failure of the talks could lead to continued sanctions on Iranian oil exports, potentially affecting global supply.

Tensions between Russia and Ukraine continue to loom as an additional pressure factor on energy markets, while wildfires in Canada's Alberta region have partially disrupted production, with estimates indicating around 7% of Canada's total crude oil production being affected.

Prices experienced a significant jump yesterday, Monday, as investors welcomed the "OPEC+" decision not to proceed with additional production increases beyond the pre-set levels, reinforcing bullish market sentiments in an uncertain environment.