Oil drops more than USD2

Business Recorder reported that Brent crude futures closed USD 2.22 lower, or 2.35%, at USD 92.17 on Monday, while US West Texas Intermediate shed USD 2.05 a barrel to USD 85.01. Traders booked profits after a recent rally, and they largely ignored fresh US sanctions against Iran. Both benchmarks had recorded a second straight weekly advance, climbing by more than 5%.

US Treasury Secretary Scott Bessent unveiled a broader set of secondary sanctions that could hit companies and countries doing business with Iran, as Washington tightens economic pressure while the conflict nears six months. The step came after Trump last week threatened economic warfare and isolation of Tehran on an unprecedented scale. Raymond James analyst Pavel Molchanov said Bessent's remarks offered little that had not been signalled beforehand.

Shipping data released on Monday showed under 20 commodity ships crossed the Strait of Hormuz during the weekend, as blockades by Iran and the US restrict energy traffic through the chokepoint. Pakistan's army chief was in Tehran that day for mediation talks, while Iran condemned the planned measures, and President Masoud Pezeshkian has urged a diplomatic solution. On Monday, IEA chief Fatih Birol said the agency is not presently in talks over a second drawdown of strategic reserves.