Iranians 'Harass' U.S. Navy

Updated from 9:26 a.m. EST

Oil prices initially rose past $98 Monday after reports emerged that three U.S. Navy ships were involved in a tense standoff with Iranian military vessels in the Persian Gulf over the weekend, but they recently pulled back.

According to CNN, the U.S. ships were "harassed" and received "threatening" radio transmissions from the Iranians, including a communication that included remarks to the effect that the American boats would be blown up. The report was later confirmed by the Pentagon.

No shots fired, but at least one U.S. ship was making preparations to fight, according to the report. Five Iranian ships were said to be involved in the incident, which took place in the Strait of Hormuz, a major shipping channel for Middle Eastern crude. ...