Tensions in the Gulf: Oil Prices Plummet Amid Iranian Retaliation

Oil prices tumbled more than 7% Monday after Iran refrained from disrupting oil and gas tanker traffic but struck a U.S. military base in Qatar in response to American attacks on Iranian nuclear sites.

Brent crude futures sank $5.53 to $71.48 a barrel, with U.S. West Texas Intermediate crude falling an identical $5.53 to $68.51. This marks Brent's sharpest fall since August 2022, as markets react to the broadening tensions in the Middle East.

The missile attack on the Al Udeid airbase, the largest U.S. military installation in the region, is a repercussion that has not yet impacted oil flows, although concerns loom over Iran's threat to close the strategically crucial Strait of Hormuz.

(With inputs from agencies.)