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MTECHTIPS;- Crude oil, Brent decline on Spain debt woes, Iran talks eyed  

Crude oil futures were lower during European morning trade on Tuesday, as growing concerns over surging Spanish borrowing costs prompted investors to shun riskier assets. Oil traders were also focusing on a second day of talks between Iran and world powers over Tehran's disputed nuclear program in Moscow.On the New York Mercantile Exchange, light sweet crude futures for delivery in July traded at USD82.88 a barrel during European morning trade, easing down 0.15%.The July contract is due to expire at the end of Wednesday’s trading session. Contract expiration often leads to volatile sessions as market participants look to close out positions or reposition their portfolios.Meanwhile, the more actively traded contract for August delivery declined 0.45% to trade at USD83.25 a barrel. It earlier fell by as much as 0.65% to trade at a session low of USD83.08 a barrel.Market sentiment remained under pressure as the yield on Spanish 10-year bonds stood at 7.16% on Tuesday morning, after surging to a euro-era high of 7.28% the previous day.The 7% threshold is widely considered unsustainable in the long run and is the level at which Greece, Ireland and Portugal were forced to seek international bailouts.The spike in borrowing costs came in spite of efforts to insulate Madrid from the effects of the ongoing sovereign debt crisis by agreeing on a EUR100 billion aid package for Spanish banks.Concerns that Spanish bond yields could continue to rise emerged as the country was preparing to issue EUR2 billion to EUR3 billion of 12- and 18-month debt later in the day.WWW.MTECHTIPS.COM 07489294118