The impact of Iran sanctions - in charts

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Washington can identify the buyers, sellers, traders, shippers, insurers and financial institutions involved in Iranian oil purchases because all foreign transactions in USA dollars are cleared by the Federal Reserve.

Rising oil prices just passed another milestone.

Oil prices have been climbing partly because of expectations that President Donald Trump will abandon the 2015 Iran nuclear deal, which allowed Iran to export more crude.

"We believe the previous 1 million BPD (barrel per day) limit for exports (imposed during previous sanctions) will be reimposed".

UK Prime Minister Theresa May, French President Emmanuel Macron and German Chancellor Angela Merkel issued a joint statement in the wake of the USA president's announcement calling on all the other parties to the JCPOA to stay committed to their obligations under the agreement.

USA officials in announcing the renewed sanctions said they expected us allies in the oil-rich Persian Gulf region to make up Iran's shortfall in production, in a move they said would soften the impact of the sanctions on global oil prices. Even so, the US's closest allies still seem to be very much in the dark on what he'll decide.

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The first deadline, on 6 August, will affect the purchase of U.S. dollars, trade in gold and certain other metals, as well as aviation and the auto industry.

There is a risk of crude oil prices hitting $100 per barrel next year due to tightening of supply and demand balance in global oil market, investment banking giant Bank of America Merrill Lynch said in a report Thursday.

"He said the new sanctions regime would also affect the U.S. and that Europeans would "put in place the necessary measures to protect the interests of our companies and start negotiations with Washington" on the matter".

Saudi Arabia highlighted in a statement through Saudi Press Agency that it also welcomed re-imposing sanctions on Iran that were suspended after the enforcement of the deal. Under the deal signed in Vienna with six world powers - the US, UK, France, Germany, Russia, China and the European Union - Iran scaled back its uranium enrichment programme and promised not to pursue nuclear weapons.

But Kloza sees relief in the future because oil production is booming in the U.S. The E.I.A. projects domestic crude production will rise to almost 12 million barrels a day in 2019 - that's a million more barrels of oil a day than the country is expected to produce this year. Israel said it conducted the biggest raid in at least three decades at Iran's military facilities inside Syria.

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