US Treasury threatens Iran with unprecedented economic isolation

US Treasury Secretary Scott Bessent threatened Iran with unprecedented economic isolation on Thursday, signaling a hardening Washington stance just days after promising an imminent deal to reopen the Strait of Hormuz. Bessent told conservative channel Newsmax the strategy combines economic isolation with a continued blockade preventing anything entering or leaving Iranian ports, adding "stay tuned" for further announcements next week. This reverses his August 4 remarks about a possible deal "today or tomorrow" that had boosted markets. The escalation comes as the US-Israeli war on Iran approaches six months, with a June memorandum collapsing in early July. The UAE condemned Iranian attacks on two ADNOC-affiliated vessels Thursday, while Tehran dismissed Trump's claims of total US control over the strait.