Oil Prices Plummet on Sanctions Fears

Oil prices fell sharply on Monday as investors booked profits ahead of an expected announcement from Washington on additional sanctions against Iran.

The US Treasury Secretary, Scott Bessent, has threatened to impose 'the toughest sanctions in history' on Iran, with President Donald Trump also warning countries trading with Iran that they will face sanctions.

Brent crude futures fell $1.9 (2%) to $92.60 a barrel, while US West Texas Intermediate crude dropped $1.76 (2%) to $85.20 a barrel.

Analysts warn that disruptions through the Strait of Hormuz could push oil prices even higher, with JPMorgan estimating that every additional month of disruption adds $7 to $8 per barrel to Brent prices.