Oil Prices Fall Amid US-Iran Tensions Despite Two-Week Rally
Oil prices are falling despite ongoing tensions in US-Iran relations, with Brent crude futures dropping by 25 cents to $89.45 per barrel and West Texas Intermediate (WTI) futures falling by 22 cents to $83.31 per barrel.
The decline comes after a two-week period of gains for both major oil grades, with Brent poised to lose around 5.3% and WTI potentially dropping 4.3% for the week.
The market is reacting to reports that US President Donald Trump has no interest in reviving the June memorandum of understanding with Iran, complicating diplomatic efforts to resume negotiations between the two countries.
US sanctions against Iran remain an additional factor influencing price movements, with Washington announcing what it called 'the toughest sanctions in history' against Tehran on Monday.