Oil prices fall as Iran sanctions waiver revives oversupply fears

Oil prices declined on Friday, as traders worried about oversupply after the US said it would allow waivers to Iran sanctions.

According to media reports, US Secretary of State Mike Pompeo announced a decision allowing eight countries to keep importing Iranian oil after the sanctions come into effect on Nov. 4.

By 09:00 pm Riyadh local time, Brent Crude futures were down 0.10 percent to $72.82 a barrel, while WTI crude futures were down by 0.96 percent to $63.08 a barrel.

On Thursday, West Texas Intermediate (WTI) futures slid to $63.69 a barrel, while Brent crude fell to $72.89.

Julius Baer, however, noted in a recent report that crude oil supply risks still loom large in the near term as the upcoming Iran embargo leaves the oil market with only a small buffer to absorb additional shocks.