Oil Prices Plummet on Expected US Sanctions Announcement

Oil prices fell on Monday as investors took profits ahead of an expected announcement from Washington about imposing more sanctions on Iran.

The move could further disrupt supplies from the Middle East, with Brent crude futures falling $1.22, or 1.29%, to $93.17 by 0035 GMT, and U.S. West Texas Intermediate crude down $1.20, or 1.38%.

This comes after both contracts posted their second weekly gains last week, up more than 5%, as peace talks between the US and Iran hit a stalemate.

Vivek Dhar, a commodities analyst at Commonwealth Bank of Australia, warned that if the US measures do work as intended, 'Iran's ability to respond via increased violence becomes a growing risk for energy markets to consider.'