Oil prices experienced fluctuations on Tuesday due to heightened tensions resulting from US President Donald Trump's stern warnings directed at Iran. On the day, West Texas Intermediate (WTI) crude oil prices marked a rise of over one percent, approaching the $64 per barrel threshold, while Brent crude slightly retreated to just below $69 per barrel. This volatility in oil markets occurred during a period when many Asian and US markets were quieter owing to ongoing holidays, with several major financial hubs across Asia closed for the extended Lunar New Year celebrations.

Trump's cautions to Iran centered around the “consequences of not making a deal” as discussions between Washington and Tehran were scheduled to take place in Geneva. Throughout his presidency, Trump has consistently issued threats of military action concerning Iranian policies, which have included both the government's reaction to anti-government protests and their nuclear program activities. The unpredictability of these statements has continued to impact market sentiments and pricing strategies for oil, as stakeholders weigh the potential risks tied to geopolitical tensions in the region.

As markets prepare for activity following holidays, resources such as gold and silver also saw adjustments. Gold prices dropped slightly below $5,000 per ounce, representing a notable decrease, while silver fell by three percent. The interplay of geopolitical issues and market responses illustrates the delicate balance investors must navigate in light of international relations that heavily influence energy prices, especially in the context of US-Iran negotiations and regional stability.