Oil Falls Ahead of Further US Sanctions on Iran

2026-08-23 23:37 By Joshua Ferrer 1 min. read

Crude oil slipped to below $86 per barrel after a sharp weekly rally, as investors took profits ahead of Washington’s announcement of what Treasury Secretary Scott Bessent called the “single greatest financial offensive ever” against Iran.

The new measures are expected to expand sanctions on Iran’s banking, energy, aviation and cryptocurrency sectors while also targeting countries and entities that continue doing business with Tehran.

The measures could further restrict Iranian oil flows, which have already been severely disrupted by the conflict and US blockade.

Iran has pushed back, with its Persian Gulf Strait Authority warning that vessels violating its transit rules in the Strait of Hormuz could face fines, seizure or confiscation.

Tehran has also threatened countries supporting the US campaign, raising concerns over further disruptions to the key oil route, through which roughly one-fifth of global seaborne oil passed before the war.



News Stream
Oil Falls Ahead of Further US Sanctions on Iran
Crude oil slipped to below $86 per barrel after a sharp weekly rally, as investors took profits ahead of Washington’s announcement of what Treasury Secretary Scott Bessent called the “single greatest financial offensive ever” against Iran. The new measures are expected to expand sanctions on Iran’s banking, energy, aviation and cryptocurrency sectors while also targeting countries and entities that continue doing business with Tehran. The measures could further restrict Iranian oil flows, which have already been severely disrupted by the conflict and US blockade. Iran has pushed back, with its Persian Gulf Strait Authority warning that vessels violating its transit rules in the Strait of Hormuz could face fines, seizure or confiscation. Tehran has also threatened countries supporting the US campaign, raising concerns over further disruptions to the key oil route, through which roughly one-fifth of global seaborne oil passed before the war.
2026-08-23
Oil Holds Near Highs as Iran Conflict Uncertainty Persists
Crude oil was little changed around $94 a barrel on Friday, as investors assessed signs that Iran may be seeking an end to the conflict with the US. Iranian President Masoud Pezeshkian said Tehran would prefer to conclude the war while it remains in a position of strength, describing the existing memorandum with Washington as a victory for Iran. The comments provided some relief after Treasury Secretary Scott Bessent said the US would impose its toughest-ever sanctions on Tehran and intensify economic pressure on the Iranian regime. Amidst the conflicting signals, oil prices rose more than 5% for the second week. Meanwhile, the US military said it had helped tankers transport more than 660 million barrels of crude through the Strait of Hormuz since early May, suggesting that substantial volumes continue to move through the critical energy corridor despite the conflict and heightened geopolitical risks.
2026-08-21
Crude Oil Rises for Second Straight Week
Crude oil traded just below $87 a barrel on Friday, heading for a second consecutive weekly gain of around 5%. Prices remained supported by expectations of further US pressure on Iran, with no clear end to the conflict that has disrupted Middle Eastern energy flows. Treasury Secretary Scott Bessent said details of Washington’s new measures to isolate Iran’s economy would be announced next Monday, after President Donald Trump described the initiative as an “economic D-Day.” The measures could affect countries that continue trading with Tehran, including China, the largest buyer of Iranian crude. Beijing has rejected economic pressure and called for a diplomatic solution. Supply concerns are also being reinforced by disruptions to Russia’s energy sector, where Ukrainian attacks on refineries and ports have affected fuel production and contributed to shortages in some regions.
2026-08-21