TOKYO: Oil prices climbed as tensions remain high between Iran and the United States, with U.S. Secretary of State Mike Pompeo saying “significant” sanctions on Tehran would be announced.
Brent futures were up 25 cents, or 0.4%, at $65.45 a barrel by 0325 GMT.
West Texas Intermediate crude was up 37 cents, or 0.6%, at $57.80 a barrel.
U.S. President Donald Trump said last week that he called off a military strike to retaliate for Iran’s downing of an unmanned U.S. drone, and he said on Sunday that he was not seeking war with Iran.
But Pompeo also said “significant” sanctions on Iran would be announced on Monday aimed at further choking off resources that Tehran uses to fund its activities in the region.
Oil prices surged last week after Iran shot down a drone that the United States claimed was in international airspace and Tehran said was over its territory.