Oil prices retreated on Monday after the U.S. pulled back from initial sanctions threats against Colombia, reducing immediate concern over oil supply disruptions, though U.S. President Donald Trump's muscle-flexing is keeping markets twitchy.

Trump wrote in a Truth Social post that he was imposing emergency 25% tariffs on all goods coming into the U.S. from Colombia, a travel ban on Colombian government officials and other major financial sanctions in response to the refusal to accept the flights.