Trump's Economic Normandy Falters Amid Endurance Contest with Iran

U.S. Treasury Secretary Scott Bessent announced new secondary sanctions targeting banks that do business with Iran, starting with weekly actions against institutions involved in financial transactions with Tehran.

The move comes as President Donald Trump posted an AI-generated video claiming Iran's critical oil hub Kharg Island had been 'blown to smithereens,' a claim swiftly denied by the head of the National Iranian Oil Company (NIOC), Hamid Bovard, who said oil production on the island continues normally.

Reuters verification found the explosion footage was likely AI-generated, with no evidence of a new attack on the island. This incident highlights the U.S.-Iran confrontation evolving into an 'endurance contest,' with both sides betting the other will crack first.