Oil prices rise as US sanctions on Iran begins


Oil prices rose on Monday as United States sanctions against Iran’s fuel exports began but were softened by waivers allowing major buyers to import Iranian crude for a while.

Tehran said that it would defy Washington and continue to sell.

Brent crude oil was at $72.83 a barrel by 1230 GMT while US light crude was 15 cents lower at $62.99.

At 2.00 a.m. commodities, US crude was $62.91 per barrel and Brent was last at $72.62.

At 3.00 a.m. US crude was $62.68/barrel while Brent was last at $72.41.

“Oil bulls have long pinned their hopes on the Iran factor and today’s dearth of upside potential will be a major source of concern,’’ Stephen Brennock, an analyst at brokerage PVM Oil, said.

Washington imposed sanctions against Iran on Monday, restoring measures lifted under a 2015 nuclear deal negotiated by the administration of former US President Barack Obama.

In response, Iranian President Hassan Rouhani said, in a speech broadcast on state Media that Iran would break the sanctions and continue to sell oil.