Oil prices fell on Monday, retreating from Friday's volatile spike above $117 a barrel. Brent crude was down 1.3% at $115.18, while WTI slipped 1.8% to $101.41. The pullback followed Friday's surge, which was driven by concerns that U.S. President Donald Trump might launch new strikes on Iran after the midterm elections.
Recent weeks have seen rising oil prices as supply disruption fears grow and inventories shrink. Trump indicated Sunday he might either attack Iran or strike a deal, framing it as "the only question." Meanwhile, Qatari officials visited Tehran, and Iran is set to host senior officials from Saudi Arabia, Pakistan, and Turkey for regional security talks. Iran has intensified strikes on tankers in the Strait of Hormuz, and the U.S. withdrew some diplomatic staff from Saudi Arabia due to heightened Houthi attacks.
Analysts at Barclays warned that intensifying Houthi attacks, tanker incidents, and U.S. policy uncertainty keep a geopolitical premium on oil. Oil futures for April 2027 remain near $100 a barrel, reflecting expectations of sustained higher prices.
Source: Financial Times Markets · Summarized by HeadlinesBriefing