Oil prices varied on Tuesday, post touching losses during the earlier session, as the economic worries overshadowed the ongoing disruptions in the Middle East that resulted into further tanker diversions.

Brent crude added 0.04%, to $78.15 per barrel meanwhile US WTI dropped 0.32% at $72.45 per barrel.

Before U.S. Federal Reserve Chairman Christopher Waller gave his economic forecast address on Tuesday, Asian stocks sank to a 1-month low, U.S. stock futures declined, and the currency strengthened. Hawkish comments from central bankers had dampened hopes for interest rate trims.

Oil prices were also affected by some worries about how China's demand would develop in the near future following the central bank's decision to keep the medium-term policy rate (MLF) steady on Monday.

On the other hand, analysts noted that the exceptionally low temperatures in the United States may limit oil output and have an impact on significant refinery activities.

Tensions on Monday caused more oil ships to avoid the southern Red Sea, which increased transportation costs and the time it took to move oil from one location to another.