By: AGBI

Oil prices fell nearly 2 percent on Monday morning as investors took profits ahead of the US unveiling its latest sanctions on Iran and its trading partners.

Brent crude futures declined 1.5 percent to $92.95 by 02:40 GMT, while US West Texas Intermediate fell 1.7 percent to $85.60 a barrel.

US Treasury secretary Scott Bessent will hold a press conference at 18:00 GMT on Monday after last week threatening to impose “the toughest sanctions in history” on Iran.

In an opinion piece published in the Financial Times, Bessent said “Washington is now entering the endgame after significantly dismantling Iran’s military capabilities and weakening its nuclear programme”.

“At dawn begins an economic D-Day — the single greatest financial offensive ever marshalled against an adversary,” Bessent said.

US President Donald Trump last week announced the “most crushing economic operation ever taken against any country” and warned of “economic consequences” for any country that supports or provides a lifeline to Iran.

On Sunday, the Persian Gulf Strait Authority, Iran’s newly set up regulatory body for the Strait of Hormuz, said vessels violating protocols for the strategic waterway would face restrictions on future passages, including fines, detention or confiscation, the state-run IRNA news agency reported.

Four vessels crossed the strait on Sunday, Reuters reported, citing data from ship-tracker Kpler, compared with 13 on Saturday.

Meanwhile, Iran has discovered more than 7.5 trillion cubic feet of gas in the southern Fars province, oil minister Mohsen Paknejad said.

About 5.7 trillion cubic feet of the reserves are estimated to be recoverable.

Saudi Arabia’s benchmark gained 1.1 percent on Sunday, supported by Al Rajhi Bank and Bahri, which hit a two-decade high.

Dubai and Abu Dhabi stock exchanges open for trading on Monday.