Oil prices declined on Tuesday as Russia-Ukraine peace talks showed progress.

The West Texas Intermediate for May delivery lost 1.72 U.S. dollars, or 1.6 percent, to settle at 104.24 dollars a barrel on the New York Mercantile Exchange. Brent crude for May delivery decreased 2.25 dollars, or 2 percent, to close at 110.23 dollars a barrel on the London ICE Futures Exchange.

The above market reactions followed reports of progress in peace talks between Russia and Ukraine.

The two sides held a fresh round of face-to-face peace talks in Istanbul on Tuesday. Russian chief negotiator said the talks were "constructive."

Meanwhile, traders continued to assess the impact of COVID-19 on fuel demand.

On Monday, oil market experienced a marked pullback with the U.S. crude standard and Brent tumbling 7 percent and 6.8 percent, respectively.