Oil prices settled 1% lower on Tuesday as investors worried about a supply glut after Iranian and U.S. delegations made progress in their talks and on expectations that OPEC+ will decide to increase output at a meeting this week.

Any attack by Israel against Iran could significantly impact US-Iran nuclear talks, while also escalating already heated tensions in the wider Middle East region.

Oil prices remained mostly flat on Monday as investors weighed geopolitical tensions and upcoming economic data from China, the worlds second-largest oil consumer. Brent crude dipped 5 cents to $65.36 per barrel,