Hormuz Conundrum Keeps Oil Prices Elevated Despite Monday's Pullback

Oil prices took a breather on Monday as investors locked in profits after two strong weeks of gains, but the supply premium created by the US-Iran standoff remains intact.

The Brent crude benchmark fell by about 1.3% to $93.16 per barrel in Asian trading, while WTI dropped 1.6% to $85.70.

Despite the decline, prices had gained more than 5% last week, with Brent settling at $94.39 and WTI at $87.06 on Friday.

The Strait of Hormuz remains a major concern for oil markets, with only four commodity vessels crossing the waterway on Sunday and 13 on Saturday.

Kpler data shows that traffic through the strait is about 90% below pre-conflict levels, which has severely restricted shipping and supply flows.