Energy stocks were lower late Monday afternoon, with the NYSE Energy Sector Index down 0.9% and the State Street Energy Select Sector SPDR ETF (XLE) decreasing 0.8%.

The Philadelphia Oil Service Sector Index dropped 2%, and the Dow Jones US Utilities Index was up 0.9%.

In geopolitical news, the US will remove any entity facilitating money laundering on Iran's behalf from the US dollar system as part of "Operation Economic Outcast," Treasury Secretary Scott Bessent said Monday at a press conference. In addition, Bessent said the Treasury's Office of Foreign Assets Control is currently sanctioning over 60 entities, individuals and vessels assisting Iran, and he expects a "major announcement" of sanctions against a financial institution later this week.

Front-month West Texas Intermediate crude oil fell 2.1% to $85.25 a barrel, and the global benchmark Brent crude contract declined 2.2% to $92.28 a barrel. Henry Hub natural gas futures increased 0.2% to $2.78 per 1 million BTU.

In corporate news, Chevron (CVX) said Monday its Chevron Business Development EMEA subsidiary signed a production sharing agreement with Libya's National Oil Corporation, or NOC. Chevron shares were down 0.9%.