Oil Prices Pull Back as Markets Await New U.S. Sanctions on Iran

Report Time: August 24, 2026 — 5:33 a.m. MDT

Summary

WTI crude is trading at approximately US$85.29 per barrel, down about $1.77, or 2.0%, from Friday’s $87.06 settlement, based on TradingView’s October 2026 NYMEX contract.
Brent crude is trading near US$92.76 per barrel, approximately $1.63, or 1.7%, below Friday’s $94.39 settlement, based on TradingView’s October 2026 ICE Brent contract.
Profit-taking following two strong weeks is pressuring prices, while traders await details of new U.S. sanctions against Iran. Continuing restrictions through the Strait of Hormuz remain a major potential bullish risk for oil.

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Oil prices are meaningfully lower Monday morning, giving back part of the gains accumulated during the previous two weeks.

At approximately 5:33 a.m. MDT, TradingView showed the actively traded October 2026 WTI crude futures contract at US$85.29 per barrel, down roughly 2% from Friday’s settlement. TradingView itself showed the contract down about 2.1% over the previous 24 hours.

Reuters reported that WTI officially settled Friday at $87.06 per barrel, up 23 cents on the day. WTI gained 5.66% last week.

TradingView showed the October Brent crude futures contract at approximately US$92.76 per barrel, down about 1.7% from Friday’s Reuters-reported settlement of $94.39. Brent gained 6.39% last week, meaning Monday’s decline follows a substantial short-term rally.

Why Oil Is Falling Today

The primary reason for Monday’s decline is profit-taking after the recent rally, combined with uncertainty ahead of a major U.S. sanctions announcement involving Iran.

Reuters reported that traders were reducing positions while awaiting U.S. Treasury Secretary Scott Bessent’s announcement of additional economic sanctions against Tehran. Bessent has described the measures as potentially the toughest sanctions ever imposed on Iran, while President Donald Trump has threatened penalties against countries continuing to trade with Tehran.

The irony for oil markets is that while uncertainty ahead of the announcement is contributing to today’s selling, tougher sanctions could eventually become bullish for crude prices if they further restrict Iranian exports or trigger retaliation.

Strait of Hormuz Remains the Major Risk

The underlying supply situation remains tense.

OilPrice.com reported Monday that fewer than 20 vessels crossed the Strait of Hormuz over the weekend, including 13 on Saturday and only four on Sunday. Traffic remains dramatically below normal levels.

Reuters also reported that Iran has blacklisted 45 tankers it says violated its rules governing passage through the Strait. Those vessels could potentially face fines, detention or cargo confiscation, adding another layer of uncertainty for shipping companies.

Before the conflict intensified, the Persian Gulf accounted for roughly 20% of global daily crude oil and LNG flows, making any prolonged disruption to Hormuz a significant risk to global energy markets.

There are nevertheless some offsets. Alternative supply routes, increased U.S. production, UAE exports and other replacement barrels have helped prevent the disruption from creating an even sharper price spike.

Bottom Line

Oil is clearly lower this morning, with WTI down about 2% and Brent down roughly 1.7% from Friday’s settlements.

For now, Monday’s move looks primarily like profit-taking following two strong weeks rather than a fundamental easing of Middle East supply concerns.

The next major catalyst will be the details of Washington’s new Iran sanctions and, potentially more importantly, Iran’s response. With Hormuz shipping still heavily disrupted, geopolitical developments remain capable of moving crude prices sharply in either direction.

Prices are based primarily on TradingView futures data available at approximately 5:33 a.m. MDT and can change rapidly during active trading.