Oil prices drop amid Iran sanctions uncertainty
Source: cnbc ·
Investors wait with bated breath for the details of Washington's latest sanctions on Iran, as oil prices take a hit on Monday.
Key takeaways
- Oil prices fell 1.62% and 1.38% to $85.65 and $93.09 per barrel, respectively.
- U.S. Treasury Secretary Scott Bessent announced new sanctions against Iran.
- Iran dismissed the threat of intensified economic pressure.
- Commonwealth Bank of Australia expects oil prices to remain volatile in the second half of 2026.
- Brent crude is expected to trade between $70 and $100 a barrel in the second half of 2026.
Why it matters
Oil prices and global market stability are at risk as the U.S. and Iran engage in a high-stakes economic standoff. The outcome will have far-reaching implications for energy markets, with potential consequences for oil prices, global trade, and regional security.
What to watch
- U.S. Treasury Secretary Scott Bessent's announcement on new sanctions against Iran.
- Iran's response to the sanctions and potential escalation of violence.
- Oil flows through the Strait of Hormuz and its impact on global market expectations.