Oil prices decline as markets anticipate new U.S. sanctions on Iran

Oil prices declined during Monday morning trading on August 24, 2026, as investors engaged in profit-taking following a significant rally last week. Brent crude fell by approximately 1.5% to reach between $91.30 and $93.02 per barrel, while West Texas Intermediate (WTI) dropped about 1.6% to approximately $85.60 per barrel. This correction follows a period of gains exceeding 6% for Brent during the previous week, driven by supply disruption concerns in the Middle East.

The market downturn reflects a cautious stance ahead of impending announcements from Washington regarding a new package of economic sanctions against Tehran. U.S. Treasury Secretary Scott Bessent is expected to unveil these measures, which the Donald Trump administration has indicated will be particularly strict. There is speculation that these sanctions could impact third-party nations maintaining economic ties with Iran.

Investors are currently assessing the extent to which these new restrictions might further curtail Iranian oil exports and affect global supply chains. While the threat of strict sanctions creates potential upward pressure on prices, the current market sentiment is dominated by uncertainty and the stabilization of values after last week's highs.