Oil prices fell more than $1 a barrel on Monday as investors took profits after two weeks of gains and awaited details of tougher US sanctions on Iran that could further disrupt crude supplies from the Middle East.
Brent crude futures fell $1.01, or 1.1 percent, to $93.38 a barrel, while US West Texas Intermediate declined $1.42, or 1.6 percent, to $85.64 at 1316 GMT.
Both benchmarks gained more than 5 percent last week, marking a second consecutive weekly increase as stalled US-Iran peace negotiations continued to constrain tanker traffic through the Strait of Hormuz, a key route that historically carries about a fifth of global oil supplies.
Scott Bessent, US Treasury Secretary, was due to outline the new measures later on Monday, after warning of the “toughest sanctions in history” against Iran. President Donald Trump has also threatened sanctions against countries that continue trading with Tehran.
The prospect of tighter sanctions is raising the risk of further supply disruptions if Iran responds by intensifying attacks on oil infrastructure or tightening restrictions on shipping through Hormuz.
