Oil prices eased this week as traders locked in profits ahead of a fresh round of U.S. sanctions targeting Iran, pulling back after a rally of more than 5% the previous week. Brent crude fell 1.29% to $93.17 a barrel, while U.S. West Texas Intermediate dropped 1.38% to $85.86 a barrel.
The retreat followed weeks of gains driven by stalled U.S.-Iran talks and concerns over shipping disruptions through the Strait of Hormuz, a chokepoint that carries roughly a fifth of the world’s oil supply. Treasury Secretary Scott Bessent said the incoming measures amount to “the single greatest financial offensive ever marshaled against an adversary,” aimed at severing Tehran’s economic ties abroad.
Traders said the sanctions threaten to further squeeze Iranian crude exports; trade sources reported Tehran offering fewer barrels to Chinese buyers even as prices for the remaining shipments rose. Analysts cautioned that the standoff leaves energy markets exposed to renewed volatility should Iran respond with escalatory measures of its own.
