Oil Prices Tumble as Markets Await Fresh Iran Sanctions

Global oil prices declined by more than $1 on Monday as traders took profits following recent gains and awaited new sanctions the United States is expected to impose on Iran. By 11:31 a.m. GMT, Brent crude futures had fallen $1.16, or 1.23 per cent, to $93.23 per barrel, while West Texas Intermediate (WTI) dropped $1.55, or 1.78 per cent, to $85.51 per barrel.

The recent rally has been linked to stalled peace negotiations between the U.S. and Iran, which have contributed to disruptions affecting oil shipments through the Strait of Hormuz.

U.S. Treasury Secretary Scott Bessent was expected to announce additional measures against Iran later on Monday. Bessent has previously warned that Washington could impose what he described as the toughest sanctions ever placed on Iran.