Oil slips from five-month highs as Hormuz crossings and Russian sanctions waiver stay in focus
USO•Oil fell more than $1 on Monday after reaching multi-month highs last week, with Brent down 1.6% to $108.14 a barrel and U.S. crude down 0.86% to $100.54. Gulf crude flows averaged about 8.5 million barrels per day last week, Kpler said, down from more than 20 million the week before.
1. Prices retreat, supply stays in focus
Oil prices slipped on Monday as investors took profits after last week's gains, while monitoring conflicts in the Middle East and Ukraine and the effects of U.S. waivers affecting Russian exports. Brent fell $1.72, or 1.6%, to $108.14 a barrel; U.S. West Texas Intermediate declined 87 cents, or 0.86%, to $100.54.
2. Hormuz flows fall sharply
Iran's Islamic Revolutionary Guard Corps said an oil tanker caught fire and exploded after hitting a naval mine in the southern Strait of Hormuz on Sunday. Kpler said Gulf crude flows averaged about 8.5 million barrels per day last week, down from more than 20 million the week before, and reported at least 10 confirmed incidents involving commercial vessels.
3. Waiver allows impact review
President Donald Trump signed an order waiving some sanctions and tariffs related to Russian exports. Secretary of State Marco Rubio said Trump would take up to 60 days to assess the impact on the global economy. The article said a deal with Russian President Vladimir Putin would allow diesel exports to the United States and other countries, starting at about 2.3 million barrels this month and rising to about 7.6 million barrels monthly.
