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Oil slips more than $2 as investors take profits after Iran sanctions
Brent settled down $2.22, or 2.3%, at $92.17, while U.S. West Texas Intermediate fell to $85.01.
Oil prices fell more than $2 a barrel on Monday as investors took profits after recent gains and largely shrugged off new U.S. sanctions targeting Iran, according to Reuters.
Brent crude futures settled down $2.22, or 2.3%, at $92.17, while U.S. West Texas Intermediate dropped $2.05, or 2.4%, to $85.01. Both contracts posted a second consecutive weekly gain last week, rising more than 5%.
U.S. Treasury Secretary Scott Bessent announced an expansion of secondary sanctions it can impose on entities and countries that maintain business ties with Iran. Reuters cited an analyst at Raymond James saying there was little genuinely new in the announcement beyond what had been signaled earlier, and another analyst at Rystad Energy raised the key question of how aggressively Washington will enforce the secondary sanctions against Iran’s remaining trading partners.
Reuters also pointed to constrained flows through the Strait of Hormuz, noting fewer than 20 commodity vessels transited the strait over the weekend as Iranian and U.S. blockades restricted traffic. TotalEnergies’ CEO said the company was profitably moving oil through the strait, with higher transport costs offset by steep crude discounts from producers.
Latest closeWTI crude $82.40 ▲1.4%|Brent $88.59 ▲1.8%