WASHINGTON MOVES TO CUT IRAN OFF FROM THE WORLD ECONOMY

🔴 Treasury Secretary Scott Bessent says the sanctions coming Monday will be the "toughest in history."

CNBC reports Bessent will hold a press conference to announce a new package against Iran, one he described as the greatest campaign of "coordinated economic isolation in the history of the world."

In an opinion piece he wrote for the Financial Times on Sunday, he called it an "economic D-Day" and "the single greatest financial offensive ever marshalled against an adversary."

The part that matters for markets is who else it touches. Bessent told CNBC the administration wants US allies and the rest of the world to stop doing business with Iran entirely, and that Washington will use its "full might" against anyone who does not comply.

"You are either with us or against us," he told CNBC.

President Donald Trump said last week the US would target Iran with the "most crushing economic operation ever taken against any country," and threatened penalties on any nation helping Iran evade sanctions.

Tehran is not blinking publicly. An IRGC spokesperson said through state media that Iran can "easily establish economic relations with countries" and called the campaign an admission of defeat in the military arena.

RBC Capital Markets' Helima Croft told CNBC that Iran is already among the most sanctioned countries on earth, and it is unclear whether more pressure changes anything. She noted Iran retains the ability to strike ships in the Strait of Hormuz.

That is the risk sitting under the oil price.

Does cutting off Iran's remaining trade partners actually work?

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