Oil Prices Hold Steady Amid US and Iran Energy Threats
Brent crude held near $112.11 per barrel as investors weighed threats to Gulf infrastructure. US sanctions on Iranian oil were lifted to ease supply shortages.
Global oil markets remained relatively stable on Monday as traders balanced the risk of military strikes against energy infrastructure with the potential for increased supply following a shift in sanctions policy. In Singapore, Brent Crude Oil futures declined by 8 cents to $112.11 per barrel, while U.S. West Texas Intermediate stood at $98.17. The price gap between the two benchmarks has widened to over $14, marking the largest spread in several years.
The current market sentiment is heavily influenced by the escalating tension between the United States and Iran. While Washington has temporarily lifted sanctions on Iranian oil currently at sea to mitigate supply shortages, the threat of direct conflict remains high. Michael McCarthy, CEO of Moomoo Australia, suggested that the minor price dip is likely a result of low liquidity and short-term profit-taking rather than a change in the broader bullish trend.
