Oil prices drop from one-week peak amid Iran war uncertainty

Oil prices dropped on Monday after reaching one-week highs earlier in the day, as uncertainty grew over the potential length of the Iran war and the possible near-blockage of the Strait of Hormuz.

Iran has halted most maritime traffic in the narrow channel – through which about 20 million barrels per day (bpd) of crude and related products would normally transit – forcing many countries including Kuwait, Qatar, Iraq, the UAE and Saudi Arabia to reduce daily hydrocarbon production, News.Az reports, citing foreign media.

Brent crude was down 0.5 percent at $103 a barrel as of 13:28 GMT, having topped $106 in early Monday trading. Even with its subsequent decline, Brent is still up 43 percent – or $31 – since the US and Israel launched strikes on Iranian civil and military infrastructure on February 28.

News.Az 

By Ulviyya Salmanli