US sanctions Iran amid Hormuz standoff
Analysis based on 8 articles · First reported Aug 28, 2026 · Last updated Aug 29, 2026
Petroleum prices remain volatile due to the ongoing closure of the Strait of Hormuz, which handled a fifth of world oil supplies before the war. Sanctions on Banque Misr and threats of secondary sanctions increase compliance risks for international banks and could further disrupt trade with Iran.
On August 28, 2026, Iran condemned new US economic sanctions as 'state terrorism' and 'a crime against humanity', while Supreme Leader Mojtaba Khamenei banned acts harming 'social cohesion' amid fears of unrest. The US Treasury imposed sanctions on Egypt's Banque Misr for doing business with Tehran, proposing to cut off its UAE branches from dollar transactions, and separately sanctioned a China — Hong Kong entity and a person linked to Bank Melli Iran. The standoff over the Strait of Hormuz remains unresolved, with shipping traffic at a fraction of normal levels. Diplomatic efforts continue, with Qatari PM Mohammed bin Abdulrahman bin Jassim Al Thani visiting Tehran and Iran preparing conditions for reopening the strait.
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