Oil falls again as U.S. allows Iran sanctions waivers

Oil prices slipped further on Friday, heading for a weekly loss of more than 6 percent, after a report that Washington has granted several countries waivers on sanctions on Tehran, allowing them to continue to import Iranian crude.

Benchmark crude oil LCOc1 was down 20 cents a barrel at $72.69 by 0900 GMT. The contract has fallen 12 percent since the beginning of October.

U.S. light crude CLc1 was 25 cents lower at $63.44, down more than 13 percent since hitting four-year highs a month ago.

Global markets, including oil, were lifted earlier on Friday by hopes that the trade dispute between the world’s two biggest economies could be resolved soon.

But sentiment turned negative after a report that several governments received waivers that would allow them to import some Iranian crude once U.S. sanctions are imposed next week.

The U.S. government has agreed to let eight countries, including close allies South Korea and Japan, as well as India, keep buying Iranian oil after it reimposes the sanctions, Bloomberg reported on Friday, citing a U.S. official.

“Oil prices sold off sharply ... on news that the U.S. administration would grant waivers for oil imports from Iran,” Goldman Sachs analysts said in a note to clients.

A list of all countries getting waivers is expected to be released officially on Monday, several industry sources said.