US Sanctions on Iran Send Oil Prices Steady Amid Economic Pressure
Oil prices remained steady on Tuesday after falling over 2% in the previous session as investors assessed the impact of harsher US sanctions against Iran.
The Brent crude futures were down 9 cents, or 0.1%, at $92.16 by 0104 GMT, while US West Texas Intermediate crude was up 1 cent at $85.02 a barrel.
US Treasury Secretary Scott Bessent unveiled an expansion of sanctions to cut off Iran's economic lifeline, forcing countries to sever their business ties or risk being cut out of the dollar-based financial system.
Despite concerns about threats to Middle Eastern oil supply due to the war, analysts said markets are pricing economic pressure as a lower-risk path than kinetic action, which led to an initial reaction for oil to move lower rather than spike higher.