Oil drops over 2% as U.S. unveils sweeping sanctions targeting Iran's economy

· Business USAIRNCHN
Part of Iran-US Sanctions Crisis

Oil prices fell more than 2 percent on Sunday, snapping a six-session rally, as the U.S. Treasury unveiled a broad sanctions package aimed at severing Iran from global trade and financial networks. Brent crude settled at $92.17 a barrel, down 2.35 percent, while WTI fell by the same margin to $85.01, after two weeks of gains driven by the U.S.-Iran conflict.

Treasury Secretary Scott Bessent described the measures as an "economic landing" targeting five Iranian sectors — aviation, digital assets, gold, shipping, and technology — with nearly 60 individuals, entities, and vessels added to the sanctions list. The crackdown is expected to weigh heavily on China, Iran's top oil buyer, which has purchased the bulk of Tehran's exports for years.

Tehran warned it would treat as "enemies" any country joining the U.S. economic campaign, and Mohsen Rezaei, secretary of Iran's Supreme National Security Council, threatened to strike U.S. economic interests. Meanwhile, Pakistan's army chief Asim Munir is traveling to Tehran to pursue peace efforts.

Story development

  1. Oil drops over 2% as U.S. unveils sweeping sanctions targeting Iran's economy
  2. U.S. strategic oil reserves fall to lowest since 1983 as global stockpiles drain
  3. Oil tracks toward second weekly gain as U.S.-Iran war strains supply routes
  4. Brent crude tops $91 as fresh Hormuz strike compounds bond sell-off
  5. Brent crude nears $90 as US strikes vessel breaching Iran blockade and Hormuz traffic remains choked
  6. Oil prices climb as uncertainty persists over Strait of Hormuz reopening

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