Trump Threatens Oil Sanctions—Global Markets Brace for Shockwaves

Geopolitical tensions flare as former President Trump vows to sanction any nation buying Iranian oil. The move could destabilize energy markets—just as Wall Street ’experts’ finish their morning avocado toast.

Key implications:

- Oil prices likely to spike as secondary sanctions loom

- Petrodollar system faces another stress test

- Crypto markets may see safe-haven inflows (again)

Another day, another political grenade tossed into global finance. Bitcoiners shrug while traditional markets scramble to hedge—some things never change.

Trump takes aim at China and starts talks with Iran

The White House didn’t directly name China, but Scott Modell, who runs Rapidan Energy and is a former CIA officer, said the message clearly pointed to Beijing. China is reportedly importing over 1 million barrels a day from Iran. Modell told CNBC that unless the administration specifically hits China’s state-owned companies and the infrastructure that supports those oil flows, those barrels will keep moving.

“Trump’s comments don’t signify a change in the administration’s drive to reach a new deal with Iran but rather underscore Trump’s belief in negotiating through strength,” Modell said.

Even with all the pressure, Trump isn’t closing the door on talks. In April, he opened negotiations with Iranian officials in Oman. The focus was Iran’s nuclear program. Back in February, he said the goal was to stop Iran from getting a nuclear weapon, though Tehran denies it wants one. He added that he would rather negotiate a new agreement than keep escalating tensions.

This approach isn’t new. During his first term, Trump pulled the US out of the 2015 nuclear deal brokered by Barack Obama. Since then, his administration has worked to squeeze Iran’s economy, especially its oil exports, as hard as possible.

One more move came earlier in April, when Trump slapped “secondary tariffs” on countries buying oil from Venezuela, another member of OPEC. Just like with Iran, the goal is to block revenue from flowing to governments he wants to isolate.

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