Oil prices fell more than 1% on Monday as investors took profits ahead of an anticipated US announcement on fresh sanctions against Iran, a move that could further disrupt supply from a region already under strain.
Brent crude futures dropped $1.22, or 1.29%, to $93.17 a barrel by 00:35 GMT, while US West Texas Intermediate fell $1.20, or 1.38%, to $85.86 a barrel.
The declines came after both benchmarks posted gains of more than 5% last week, their second consecutive week of advances, as stalled talks between Washington and Tehran continued to restrict oil shipments through the Strait of Hormuz. Around a fifth of global oil supply passes through the strait.
US Treasury Secretary Scott Bessent, who threatened to impose “the harshest sanctions ever” on Iran, was scheduled to hold a press conference at 2pm Eastern time (18:00 GMT) on Monday. President Donald Trump has also pledged to sanction Iran’s trading partners.
