US Sanctions on Iran Slam Global Markets: Oil, Gas, and Bonds Reel as Tehran Vows Revenge

The measures, which Washington has called an “economic D-Day,” aim to cut off revenue streams funding Tehran’s military and nuclear programs [226835][227006]. Oil prices initially slipped more than 1.5% as traders awaited details from Treasury Secretary nominee Scott Bessent, but European natural gas futures jumped nearly 4% on fears of supply disruptions from the Persian Gulf [226261][226565]. European stocks closed nearly flat, with energy firms losing ground while travel and mining shares gained [226564].

Iran’s rial hit a record low on the open market, trading above two million per dollar as investors and households braced for tighter enforcement of existing restrictions [226594]. Tehran has pledged “proportional countermeasures” and says it is prepared to absorb the impact through diversified trade partners and domestic production [227013][226835]. The sanctions freeze billions in assets held by Iranian-linked entities across European and Asian banks, prompting banks to pull back from sovereign debt purchases for fear of secondary penalties [226320].

China sharply criticized the U.S. for what it called “economic wars,” pointing to the disruption of global markets, while Germany’s gas reserves sit at only 50% full as traders bet on a price drop if the conflict ends [226871][225067]. Bond markets remain paralyzed, with one London trader saying, “No one wants to clear a trade that might look like it funds Tehran” [226320].

The full impact on oil supply remains unclear, but shipping insurers have already doubled war-risk premiums for tankers entering the Persian Gulf [226320]. The U.S. is betting that economic pressure will succeed where airstrikes and diplomacy failed, but Iran insists it will not buckle [227006][226835].