Oil prices edged up, paring some previous losses as investors monitored peace talks between the US and Iran, while supply tightness and US inventory drawdowns provided some support, Reuters reports.

Brent crude futures rose 78 cents, or 0.74 per cent, to $105.80 a barrel by 0341 GMT, and US West Texas Intermediate futures were up 84 cents, or 0.85pc, at $99.10.

“The oil market remains overly sensitive to Iran-related headlines, with participants continuing to pin considerable hope on reports that talks between the US and Iran are progressing,” ING analysts said in a note.