Bessent Unveils 'Economic D-Day' Campaign Against Iran

US Treasury Secretary Scott Bessent has threatened economic punishment against countries doing business with Iran as part of an intensifying effort to pressure Tehran. The Trump administration is seeking to isolate Iran financially and sever its connections around the world, according to Bessent.

Bessent described the campaign as 'economic D-Day' and said it would target five key areas: digital assets, technology, gold, aviation, and shipping. He warned that countries will be given a timeline to shut down their links with Iran or face potential US sanctions, adding that the administration could sanction a major financial institution by the end of the week.

The Treasury Department has already imposed sanctions on over 60 entities, focusing on these five areas. Bessent noted that China, which buys most of Iran's oil, will be particularly affected by the measures. However, he emphasized that the administration is giving countries an opportunity to change their behavior rather than immediately imposing penalties.

The economic pressure on Iran has led to a surge in gold prices, with the precious metal reaching its highest level since May 14 at $4,680.70 per ounce. The weaker dollar and lower bond yields have supported demand for gold, while oil prices fell by over $2 a barrel as investors took profits after recent gains.

Bitcoin retreated from its record high of around $80,000, raising questions about whether the cryptocurrency can sustain its rally. Analysts have warned that profit-taking could emerge after the rapid advance, and some hedge funds may be pursuing basis trades rather than taking a directional view on Bitcoin's price.