The price of crude oil was bearish on Sunday as Brent crude dropped by 1.14% to close at $74.55 per barrel. Oil dipped after 4 monthly gains with data signalling a slowdown in China and as investors monitored the spread of the delta coronavirus.
While futures dropped, traders also monitored a rise in tensions between Iran and the U.S. Washington has formally blamed Tehran for an attack on an Israel-linked oil tanker, warning of an appropriate response.
The standoff comes as the two nations are seeking to revive a nuclear accord that, if successful, may pave the way for an end to U.S. sanctions on official Iranian oil flows.
Oil has risen every month this year apart from March as the global recovery from the pandemic stoked consumption, although traders remain wary about the threat carried by the disease’s persistence.
Against that backdrop, the Organization of Petroleum Exporting Countries and allies have largely followed through with plans to ease supply curbs, with an extra 400,000 barrels a day to be released this month
Also, WTI Crude dropped 1.04% on Sunday evening to trade at $73.18 per barrel. Natural gas recorded a 1.18% gain in price to trade at $3.960. Meanwhile, Bonny Light traded in a positive region at $74.32 per barrel, representing a 0.27% gain.
