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Market Chatter: Bessent Signals Economic Pressure Could Reduce Need for Iran Combat

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Treasury Secretary Scott Bessent said Thursday that if the US pursues maximum economic pressure on Iran, large-scale military action is unlikely to resume, according to a CNBC interview.

"If we are doing the maximum economic pressure, then that means that likely there will not be a large-scale kinetic restart," Bessent told CNBC.

Bessent said the US will urge allies to choose sides, describing the effort as the largest coordinated economic isolation campaign, working alongside the existing US naval blockade of Iranian ports, calling it a "two-way punch."

The Treasury Secretary said he would disclose the plan at a press conference Monday. The US Department of the Treasury did not immediately reply to' request for comment.

Trump posted on Truth Social Wednesday that the US would launch an "unprecedented" economic warfare campaign against Iran and impose "tremendous economic consequences" on countries that provide Tehran a lifeline.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

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