Oil gave up an earlier gain as traders assessed reports of US involvement in efforts to advance negotiations in the Middle East.
Global benchmark Brent traded below $98 a barrel after rising almost 4% in the prior session, extending a volatile run in which prices have moved within a $19 range since Monday. Qatar's Emir, Sheikh Tamim Bin Hamad Al-Thani, spoke by phone with US President Donald Trump about diplomatic efforts to reduce tensions in the region, according to the Emir's office.
Expectations are growing for a faster resolution to the conflict, but significant disagreements remain. Iran is seeking the removal of a US naval blockade, relief from sanctions and the release of frozen assets before fully reopening the Strait of Hormuz. The New York Times reported that Tehran is reviewing mediator proposals on its nuclear program, indicating that Qatar's push to prevent a renewed full-scale conflict is gaining momentum.
Brent had climbed as much as 2.6% earlier on Friday. US benchmark WTI also erased its gain to trade around $90 a barrel.