Economic D-Day: US Escalates Pressure on Iran
🇮🇷 Iran Economic Sanctions
US Treasury Secretary Scott Bessent described the latest pressure campaign against Iran as an “Economic D-Day,” under Operation Economic Outcast.
⏺️ The US says the focus is shifting from military pressure to economic isolation, targeting the financial lifelines supporting Iran.
⏺️ New sectoral sanctions focus on crypto/digital assets, technology, gold, aviation and shipping, including activities facilitating Iranian oil trade.
⏺️ Secondary sanctions could hit foreign companies, financial institutions and countries that continue facilitating Iranian business. Entities involved in laundering money for Iran could also lose access to the US dollar system.
⏺️ A cure period is being provided for countries and entities to unwind targeted relationships with Iran. The US is also conducting quiet diplomacy with Iran’s trading partners.
⏺️ Trump is reportedly speaking directly with world leaders and asking them to reduce or stop trade with the Iranian regime.
⏺️ Bessent indicated that a major financial institution could be sanctioned by the end of this week over Iran-related dealings.
⏺️ Iran faces a choice between deeper global economic isolation or changing course and potentially rejoining the global economy.
⏺️ Bessent also highlighted pressure on Iran’s economy, including the rial weakening beyond 2 million per US dollar and falling oil revenues, tax collections and social security contributions.
🇺🇸 Bond Markets
Bessent clarified:
“We haven’t bought a single bond yet. The next time we have an operation is September 9.”
⏺️ This confirms that Treasury bond purchases/buybacks under the expanded program have not started yet.
⏺️ The Treasury previously announced plans to increase buybacks of longer-dated securities from September 9, aimed at improving market liquidity and addressing pressure in longer-term Treasury yields.
Key Date: September 9
🇮🇷 Iran Economic Sanctions
US Treasury Secretary Scott Bessent described the latest pressure campaign against Iran as an “Economic D-Day,” under Operation Economic Outcast.
⏺️ The US says the focus is shifting from military pressure to economic isolation, targeting the financial lifelines supporting Iran.
⏺️ New sectoral sanctions focus on crypto/digital assets, technology, gold, aviation and shipping, including activities facilitating Iranian oil trade.
⏺️ Secondary sanctions could hit foreign companies, financial institutions and countries that continue facilitating Iranian business. Entities involved in laundering money for Iran could also lose access to the US dollar system.
⏺️ A cure period is being provided for countries and entities to unwind targeted relationships with Iran. The US is also conducting quiet diplomacy with Iran’s trading partners.
⏺️ Trump is reportedly speaking directly with world leaders and asking them to reduce or stop trade with the Iranian regime.
⏺️ Bessent indicated that a major financial institution could be sanctioned by the end of this week over Iran-related dealings.
⏺️ Iran faces a choice between deeper global economic isolation or changing course and potentially rejoining the global economy.
⏺️ Bessent also highlighted pressure on Iran’s economy, including the rial weakening beyond 2 million per US dollar and falling oil revenues, tax collections and social security contributions.
🇺🇸 Bond Markets
Bessent clarified:
“We haven’t bought a single bond yet. The next time we have an operation is September 9.”
⏺️ This confirms that Treasury bond purchases/buybacks under the expanded program have not started yet.
⏺️ The Treasury previously announced plans to increase buybacks of longer-dated securities from September 9, aimed at improving market liquidity and addressing pressure in longer-term Treasury yields.
Key Date: September 9
