Oil prices fall on Monday

Oil prices fell by more than $1 a barrel on Monday as investors took profits ahead of an expected US announcement on further sanctions against Iran, which could further disrupt Middle East supplies.

Brent crude futures fell $1.49, or 1.6 per cent, to $92.90 a barrel by 0649 GMT, while US West Texas Intermediate (WTI) crude dropped $1.74, or 2 per cent, to $85.32.

Both benchmarks gained more than 5 per cent last week for their second consecutive weekly increase as stalled US-Iran peace talks and restrictions on shipping through the Strait of Hormuz raised concerns over global oil supplies.

US Treasury Secretary Scott Bessent is expected to announce new sanctions on Iran on Monday, while President Donald Trump has also threatened measures against countries trading with Tehran.

Fewer than 20 commodity vessels passed through the Strait of Hormuz over the weekend, according to shipping data, as restrictions continue to limit traffic through the key energy chokepoint.

Analysts said tightening crude supplies and declining inventories could keep oil markets under pressure, particularly if disruptions to Middle East exports persist.

Attribution: Reuters