Oil prices have dipped in anticipation of President Joe Biden's upcoming visit to Israel.
Investors are closely monitoring whether U.S. diplomatic efforts, coupled with Biden's trip, will successfully prevent the ongoing conflict in the Middle East from escalating further.
As of late Tuesday, Brent crude oil was trading at $89.50 per barrel. Last week, oil prices surged amid concerns that the Israel-Hamas conflict might spill over into the oil-producing region.
Which resulting in a 7.5% increase in global benchmark Brent, its most substantial weekly gain since February.
President Biden's visit to Israel aims to strike a delicate balance between expressing support for Israel's actions against Hamas and rallying Arab nations to help mitigate the risk of a broader regional conflict.
This comes after Iran, a member of the Organization of the Petroleum Exporting Countries (OPEC), vowed "pre-emptive action" in support of its allies, including the Hezbollah movement in Lebanon.
