Oil prices retreated slightly after reaching a six-month high last week, as traders weighed ongoing tensions between the US and Iran. Brent crude dipped below $116 a barrel, while West Texas Intermediate (WTI) hovered near $102. The pullback came amid a technical gauge indicating overbought conditions in the market.
US President Donald Trump signaled a potential escalation in rhetoric, telling Fox News that it’s “getting to be decision time” on whether to strike a deal with Tehran or “finish it off.” His remarks contrasted with Iran’s Foreign Minister Abbas Araghchi, who stated that Iran “will not attempt an attack if rationality existed,” referring to the US.
The market’s reaction reflected cautious optimism, with traders assessing the likelihood of further geopolitical risks. The recent surge in oil prices had been driven by concerns over supply disruptions in the Middle East, but the latest dip suggests some profit-taking after the rally.