2019.07.2215:17:00UTC+00Oil Futures Settle Higher On Geopolitical Tensions

Crude oil prices moved higher on Monday, amid escalation in tensions in the Middle East.

West Texas Intermediate Crude oil futures for August settled up $0.59, or about 1.1%, at $56.22 a barrel on the expiration day.

On Friday, WTI crude oil futures ended at $55.63 a barrel, gaining $0.33, or about 0.6%.

Tensions in the Middle East rose after a senior Iranian intelligence officer told reporters in Tehran that Iran has detained CIA-trained Iranian nationals who were attempting to gather information on the country's military and nuclear capabilities.

The officer also said that the rulings for these spies have been issued and a numer of them will be executed as "corruptors on earth."

U.S. President Donald Trump, however, said Iran's claim about capturing 17 people spying for the U.S. is "totally false."

"The Report of Iran capturing CIA spies is totally false. Zero truth. Just more lies and propaganda (like their shot down drone) put out by a Religious Regime that is Badly Failing and has no idea what to do," tweeted Trump. He added, "Their Economy is dead, and will get much worse. Iran is a total mess!"

On Friday, Iran's Revolutionary Guards said they had captured a British-flagged oil tanker in the Gulf in response to Britain's seizure of an Iranian tanker earlier this month.

The move has increased the fear of potential supply disruptions in the Strait of Hormuz at the mouth of the Gulf, through which about 20% of the world's oil supply flows.