Oil fluctuates as market focuses on tight supply, U.S.-Iran talks

Oil prices bounced around on Monday in see-saw trading, with some investors taking profits after signs of progress in the U.S.-Iran nuclear talks while others kept bullish sentiment bolstered by rising consumption amid ongoing supply constraints.

Brent crude was down 2 cents at $93.25 a barrel as of 07:58 GMT, after earlier touching its highest price since Oct. 3, 2014, of $94.00. It slid to as low as $92.47 in an early trade.

U.S. West Texas Intermediate crude fell 47 cents, or 0.5%, to $91.84 a barrel, having dived to as low as $91.35 earlier in the session and risen to as high as $92.73.

Both benchmarks rose more than $2 on Friday, extending their rally into a seventh week on ongoing worries about supply disruptions fuelled by political turmoil among major world producers, Reuters reported.

Crude prices, which have already rallied about 20% this year, are likely to surpass $100 per barrel because of strong global demand, analysts have said.