Oil prices fell slightly on Monday after US President Donald Trump said the US would help ships stuck in the Strait of Hormuz, although the lack of a peace deal with Iran still keeps the market above $100 a barrel.
Brent crude fell six cents to $108.11 a barrel, while US WTI crude was at $101.50, down 44 cents.
Analysts warned that the market remains under pressure from supply disruptions and geopolitical uncertainty.
Trump said on Sunday that the US would ensure safe passage for ships through the strait, but talks with Iran have failed to make progress. Tehran is demanding a postponement of nuclear talks until the war is over and the lifting of blockades in the Gulf.
The Organisation of the Petroleum Exporting Countries and its allies (OPEC+) announced a 188,000-barrel-per-day increase in output in June, the third consecutive monthly increase.
However, analysts estimate that the increase will remain largely on paper as long as the war in Iran continues to disrupt shipments through the Strait of Hormuz.
