The Yield Curve Made Him Do It
On Thursday Scott Bessent told Fox Business that the administration might “unsanction the Iranian oil that’s on the water.” One hundred and forty million barrels sitting in tankers at sea would be allowed to enter the open market. Buyers in Japan, India, Singapore and Malaysia could purchase the crude without fear of secondary sanctions. The proceeds would flow back to whoever holds title to the cargo. He offered no mechanism for confiscating revenues. No escrow. No condition excluding Iranian entities from the sale. “We’re not intervening in the financial markets,” he said. “We are supplying the physical markets.” ...