New Delhi, June 2 -- Oil prices eased on Tuesday, after an 8% rally in the previous session, as uncertainty over Iran-US peace talks left traders reassessing the risk of prolonged supply disruptions.

The August contract of Brent on the Intercontinental Exchange was trading at $94.33 per barrel early Tuesday, down 0.68% from its previous close. The July contract of West Texas Intermediate on the Nymex fell 0.67% to $91.54 a barrel.

Iran's semi-official Tasnim News Agency reported that Tehran had paused talks, citing continued Israeli military action in Lebanon. "Given the continuation of the Israeli regime's attacks in Lebanon, and considering that Lebanon had been one of the preconditions for a ceasefire - which has now been violated on...