Oil slips as U.S. sanctions on Iran begin, Tehran defiant

Oil prices fell on Monday as U.S. sanctions against Iran’s fuel exports were softened by waivers allowing major buyers to import Iranian crude for a while, while Tehran said it would defy Washington and continue to sell.

Brent crude oil LCOc1 was down 30 cents a barrel at $72.53 by 0815 GMT. U.S. light crude CLc1 was 30 cents lower at $62.84 a barrel.

Both oil price benchmarks have lost more than 15 percent since hitting four-year highs in early October, as hedge funds have cut bullish bets on crude to a one-year low, data show.

Washington imposed sanctions against Iran on Monday, restoring measures lifted under a 2015 nuclear deal negotiated by the administration of former U.S. president Barack Obama, and adding 300 new designations including Iran’s oil, shipping, insurance and banking sectors.

In response, Iranian President Hassan Rouhani said in speech broadcast on state TV that Iran would break the sanctions and continue to sell oil.