As the market awaits U.S. Treasury Secretary Yellen to announce a new round of sanctions against Iran, international oil prices fell on Monday. WTI crude futures dropped about 1.3%, settling at $85.93 per barrel; Brent crude fell 1.24%, to $93.22 per barrel.

Yellen previously stated that the U.S. would launch “the largest financial offensive in history” against Iran, urging allies and other countries to sever economic ties with Iran. Iran, on the other hand, has claimed it is capable of coping with the sanctions and maintaining its foreign economic relations. Commonwealth Bank of Australia predicts that if U.S. actions to isolate Iran are effective, the risk of Iran taking more aggressive actions may rise, further exacerbating volatility in the energy market.