Sanction waivers exact toll

Brent crude dropped below $70 per barrel for the first time since April yesterday as waivers took the sting out of Washington’s sanctions on Iran.

The global benchmark topped $85 early last month amid traders’ expectations that the sanctions would take a large chunk of Iranian production off the market. But the US issued six-month exemptions to Iran’s biggest customers this week.

Meanwhile, the US, Russia and Saudi Arabia are still producing huge volumes of oil. Brent sat at $69.79 per barrel at 1pm yesterday.