Oil falls on easing concerns of renewed tensions as the U.S. pivots to economic pressure on Iran
Oil fell Wednesday, as investors continue to assess the U.S. pivot toward economic sanctions rather than military strikes to add pressure on Iran.
Oil prices fell after the US shifted its approach to applying economic pressure on Iran, rather than pursuing military action. This change in approach has reduced some of the anxiety in the oil market, as economic sanctions are seen as posing less risk to oil supplies than a military escalation.
According to The Korea Times, oil prices dropped about 4 percent to a one-week low, with Brent crude futures down $3.83 to $88.34 a barrel and US West Texas Intermediate crude futures down $3.34 to $81.67. Both benchmarks hit their lowest levels since August 17.
The US sanctions announcement was seen as not being as forceful as some traders had expected, with the Treasury Secretary declining to identify the countries that would be targeted or say when penalties would take effect.
Brief written by urgent.news from CNBC, The Korea Times — 2 reports on this story. Machine-written — may contain errors; check the original before relying on it.
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