Oil Prices Slide Below $90 Per Barrel Amid US Sanctions on Iran

The price of crude oil has fallen below $90 per barrel for the first time in recent weeks, according to XTB.com.

This decline is attributed to the US announcing sanctions against Iran, which are seen as a shift in tone from further military action. Brent crude futures (OIL) have dropped around 3% and WTI crude (OIL.WTI) has fallen by 3.4% to $82 per barrel.

The US Treasury Secretary Scott Bessent announced direct sanctions against over 70 Iran-related entities, individuals, and vessels, including 26 mainland China and Hong Kong-based entities and individuals. The new sanctions package focuses on five key economic pillars for Tehran: shipping, aviation, digital assets, technology, and gold trading.

The market sees the current situation as an opportunity for oil to pull back from its local highs, with technical analysis suggesting that Brent crude futures (OIL) are testing a key support zone on the daily chart. The absence of oversold signals leaves room for bears to operate, opening the door for a deeper slide.