Now Reading: US warns of unprecedented Iran economic measures, oil rises
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US warns of unprecedented Iran economic measures, oil rises
US Treasury Secretary Scott Bessent has said the Trump administration will announce next week 'measures like have never been seen in the history of economic isolation' against Iran, as the war in…
The Story in Brief
US Treasury Secretary Scott Bessent has said the Trump administration will announce next week 'measures like have never been seen in the history of economic isolation' against Iran, as the war in the Middle East enters its sixth month. Bessent, speaking to Newsmax, described the plan as a 'one-two punch' that also includes maintaining a naval blockade of Iran's ports. Brent crude settled above $88 a barrel on Friday, rising nearly 6% for the week, as traders weighed the threat. Two Abu Dhabi National Oil Co. vessels were attacked while transiting the Strait of Hormuz on Thursday, the UAE's state news agency reported, though no one was hurt. Iran has been in talks with Oman to reopen the strait, but no deal has been struck. Bloomber reports that 47 years of sanctions have not forced Iran to bend on its nuclear programme or relinquish control of the waterway.
The Indian Opinion
The claim that 'never-seen-before' economic measures will force Iran to capitulate ignores 47 years of sanctions that have failed to break its will on the nuclear programme or the Strait of Hormuz. With a US naval blockade already in place and Iran still holding out, the real test is whether Washington will impose secondary sanctions on buyers like China. That would be truly unprecedented, and likely spike global energy prices far more than any risk premium built into current oil futures. Watch for next week's announcement: if China is not named, the threat is mostly rhetoric.
Sources (2): livemint.com, livemint.com (2)
This story was synthesised by AI from the 2 sources linked above.
Updated: this story now draws on 2 sources.
