Brent Crude Drops 3% on New U.S. Iran Sanctions as S&P 500 Gains 0.4%
Updated
Updated · goskagit.com · Aug 25
Brent Crude Drops 3% on New U.S. Iran Sanctions as S&P 500 Gains 0.4%
3 articles · Updated · goskagit.com · Aug 25
Summary
Brent crude slid 3% to about $88.19 a barrel Tuesday, extending a second straight drop after 13 gains in 14 sessions and easing a recent oil-driven inflation scare.
Scott Bessent's new sanctions package targeted Iran and warned other countries against doing business with Tehran, yet traders took it as economic pressure that reduced immediate fears of a wider supply shock.
Wall Street rallied with that pullback in energy: the S&P 500 rose 0.4%, the Dow added 170 points and the Nasdaq climbed 0.7%, while Treasury yields also fell.
Iran's rial already hit a record low after the sanctions, but Brent still remains well above the roughly $72 level seen before the late-February war with Iran began.