Crude Oil Prices Slide as Traders Take Profits Ahead of Iran Sanctions
Crude oil prices retreated on Monday as traders took profits ahead of new US sanctions on Iran, despite ongoing disruptions in the Strait of Hormuz that keep the risk of supply-driven price surges firmly in focus.
The pullback comes before Treasury Secretary Scott Bessent is expected to outline tougher economic measures against Iran, while President Donald Trump has threatened penalties against countries supporting Iran economically.
Brent crude futures dropped 1.3% to $93.16 a barrel by 3:29 a.m. GMT, while US West Texas Intermediate crude fell 1.6% to $85.70. Both benchmarks had gained more than 5% last week.
Despite the decline, Brent remains above its 50-period exponential moving average near $90.73, which makes the 90-91 area an important short-term support zone.