Oil prices dipped to US$106 a barrel as investors mulled how much the conflict over Iran's nuclear program might disrupt global crude supplies, as per Press Trust of India. Benchmark oil for May delivery settled at US$106.55 at midday Singapore time on the Nymex , while Brent crude for May delivery rose to US$125.1 per barrel in London.
On Friday, reports said Iran's crude exports fell sharply last month, suggesting sanctions imposed by Western powers have begun to impact that country's economy. Additionally, signs of unenthusiastic crude demand in the US and Europe and slowing economic growth in China continue to weigh on prices. Analysts are concerned that as fuel costs continue to mount, they will undermine consumer spending and trigger inflation.