WTI loses traction below $64.50 on easing Middle East geopolitical risks 

• WTI price loses ground to near $64.25 in Tuesday's early Asian session, down 0.20% on the day. 
• The Israel-Iran ceasefire eases geopolitical risks in the Middle East, weighing on the WTI price.
• US crude oil output hit a record in April, noted EIA. 

West Texas Intermediate (WTI), the US crude oil benchmark, is trading around $64.25 during the Asian trading hours on Tuesday. The WTI price edges lower amid easing Middle East geopolitical risks and a possible OPEC+ output increase in August.

Fears of Middle East tensions disrupting global oil supply ease after the Israel-Iran ceasefire. This could undermine the black gold in the near term. The market has stripped out most of the geopolitical risk premium built into the price following the Iran-Israel ceasefire, said IG markets analyst Tony Sycamore. 

The Organization of the Petroleum Exporting Countries and its allies (OPEC+) are ready to consider another 411,000 barrel per day (bpd) increase for August when they meet Sunday, following similar-size output hikes for May, June, and July. This would be the fourth monthly hike since the group started unwinding production cuts in April.

Meanwhile, US crude oil production hit a record 13.47 million bps in April, up from 13.45 million bpd in the previous reading, according to data released by the Energy Information Administration (EIA). This reading contributes to the WTI's downside.  

Investors will closely monitor trade negotiations, with just 10 days until US President Donald Trump's tariffs are set to resume. Any positive developments surrounding trade talks could provide some support to the oil demand outlook, boosting the WTI price.