US Treasury Secretary BESSENT said oil could drop to as low as $40/bbl once the
Iran conflict ends as large volumes of supply re-enter the market — “we could
see $50, $40.” He noted recent US‑Iran military clashes pushed Brent above $95
and WTI near $90. BESSENT said higher energy prices have amplified inflation
worries and lifted global benchmark bond yields, with the US 10‑year yield
rising this week to its highest level since 2023. He downplayed reports that
Norway’s sovereign wealth fund is cutting Treasury holdings, saying the fund
intends to reallocate into other US assets, including Fannie Mae- and Freddie
Mac-related debt.
