(RTTNews) - Oil prices rose Wednesday to hover near seven-month highs as traders weighed the risk of possible military escalation in the Middle East ahead of nuclear talks between the United States and Iran this week.
Benchmark Brent crude futures rose half a percent to $70.92 a barrel, while WTI crude futures were up half a percent at $65.93.
Both contracts held close to their highest levels since early August ahead of a third round of bilateral talks taking place on Thursday in Geneva, Switzerland.
Iranian Minister of Foreign Affairs Abbas Araghchi has said that a deal with the United States to avert conflict is "within reach" and that the "historic opportunity to strike an unprecedented agreement" would depend on whether "diplomacy is given priority".
Delivering his State of the Union address in Washington, DC, U.S. President Donald Trump said that he preferred diplomacy.
"My preference is to solve this problem through diplomacy. But one thing is certain, I will never allow the world's number one sponsor of terror, which they are, by far, to have a nuclear weapon. Can't let that happen," Trump said.
U.S. envoys, including special representative Steve Witkoff and presidential adviser Jared Kushner, are due to meet Iranian counterparts on Thursday to compel Iran to negotiate an end to its nuclear program.
The U.S. has positioned military forces in the Middle East, suggesting that the risk of military action remains very real.
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