Oil prices fall for second day as US shifts from Iran strikes to sanctions

Oil prices fell for a second day on Tuesday as tradersjudged the risk of renewed military strikes on Iran to have receded, after the United States instead threatened broader economic sanctions. Although Treasury Secretary Scott Bessent said the White House was declaring an "economic D-Day" against Iran and its trade partners, the US gave no timeline for its new sanctions and did not name any other countries it would punish. The measures were softer than analysts had expected and were accompanied by renewed shuttle diplomacy, with key Pakistani mediators reporting positive talks with Iran's president on Monday. Pakistan Interior Minister Mohsin Naqvi reported "a very positive and productive meeting," saying on X he believes the "momentum will help pave the way for further progress and lasting peace in the region." Read moreUS economic D-Day sanctions: 'Repeated bombing attacks across Iran failed to change the calculus' The news helped calm oil markets, with prices falling more than three percent and the international benchmark Brent back below $90 a barrel, following weeks of rising prices caused by deadlock in talks to reopen the Strait of Hormuz. Wall Street stocks finished solidl...