Pakistan, July 21 -- Global oil prices edged lower on Tuesday as renewed diplomatic efforts to reduce tensions between the United States (US) and Iran helped calm markets, despite continued military exchanges and fresh threats to energy supplies in the Middle East.

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Brent crude futures fell 35 cents, or 0.4%, to $88.87 per barrel, while US West Texas Intermediate (WTI) crude for September delivery remained largely unchanged at $82.47 per barrel. Both benchmarks stayed below the one-month highs reached during the previous trading session after concerns over escalating regional conflict drove prices sharply higher.

Market sentiment was influenced by reports that medi...