09:01 AM EDT, 05/20/2025 (MT Newswires) -- Oil edged lower early on Tuesday as the price remains rangebound amid a weakening global economy and rising supply, though stalled talks between Iran and the United States are easing fears of yet more new barrels coming to market.

West Texas Intermediate crude oil for June delivery was last seen down US$0.25 to US$62.44 per barrel, while July Brent crude was down US$0.31 to US$65.23.

Oil prices have steadied despite the prospect of rising supply as OPEC+ readies to introduce another 411,000 barrels per day of fresh supply to the market on June 1, while demand growth is easing as U.S. tariff battles slow global growth.

China, the No.1 importer, on Monday released weaker-than-expected April retail sales data and slowing industrial production as U.S. tariffs bit into an already weakening economy. As well, the European Union lowered its 2025 economic growth forecast to 0.9% this year, down from its previous 1.3% target as it expects the Trump Administration's tariff wars to slow trade.

"This downward revision largely reflects a weakened outlook for both the US and China. The slowdown of global trade is even sharper. Consequently, EU exports are expected to grow by only 0.7% this year, with a renewed contraction in exports of goods partially offset by resilience of services exports - as they are less affected by trade tensions," the European Commission said it a release.

Talks between the United States and Iran aimed at ending the Persian Gulf country's push to develop nuclear weapons have stalled, as Iran balks at a U.S. demand to end all uranium enrichment. A deal could see the United States relax sanctions that have kept much of Iran's oil exports off international markets.

"[Iran's] deputy foreign minister once again drew the red line and emphasized that nuclear talks will go nowhere based on the U S demand of zero uranium enrichment. The deal, which was seemingly within grasp on Friday, is anything but imminent", PVM Oil Associates noted.