July crude oil prices trended lower during the initial morning hours, weighed down by a weak OECD economic growth outlook and ideas that UN leaders could be close to a deal with Iran over their nuclear program. The macroeconomic backdrop turned lower during the initial morning hours, with general weakness across most risk assets and gains in the US dollar. Sentiment might have also been pared back after a major ratings agency downgraded Japan's credit rating. Another separate factor weighing on the crude oil market this morning could be from comments by a UN chief indicating that a deal with Iran over their nuclear program could be close at hand. This comes as world leaders meet in Baghdad on Wednesday. A resolution to the Iranian conflict is a force worthy of reducing supply disruption concerns.
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