Oil steadies at $72-$73 band as Iran sanctions kick in

Second phase of renewed U.S. sanctions on OPEC's third largest exporter, Iran, officially started on Monday

Oil steadies at $72-$73 band as Iran sanctions kick in

Brent oil prices almost remained unchanged and continue to trade in a range between $72 and $73 per barrel following the U.S.' re-imposition of sanctions on Iran's oil sector on Monday.

The second wave of renewed U.S. sanctions on OPEC's third largest exporter officially started on Monday targeting Iran's energy, shipbuilding, shipping, and financial sectors.

International benchmark Brent crude traded at $72.85 per barrel on Monday at opening, showing an increase of 0.43 percent from the daily average of $73.17 per barrel. 

Brent oil traded at $72.87 per barrel at opening on Tuesday, while showing a slight decrease at 0807GMT on Tuesday trading at $72.75 per barrel. WTI saw prices of $62.89.

In May, U.S. President Donald Trump unilaterally withdrew his country from the landmark nuclear deal signed in 2015 between Iran and the P5+1 group of nations (the five permanent UN Security Council members plus Germany).

Washington announced new sanctions on Monday targeting Iran's energy and financial sectors along with its shipping industry. More than 700 individuals, entities, aircraft, and vessels were blacklisted, including 50 Iranian banks and their domestic and foreign subsidiaries.

The U.S. government granted China, Greece, India, Turkey, Italy, Japan, South Korea and Taiwan a 180-day waiver for importing Iranian oil, which eased worries of supply reduction in the global markets after the sanctions went into effect.