Oil is trading higher amid Trump administration plans to impose more economic sanctions on Iran next week while also maintaining its naval blockade of Iran indefinitely if needed. Also, reports suggest Yemen's Houthis struck a Saudi Arabian city with a drone, which threatens to widen the conflict closer to the Red Sea.

Oil is trading lower as investors focus on signs of de-escalation in the U.S.-Iran conflict that include reports suggesting Pakistan is driving efforts to restart talks after meeting with Iranian leadership. Also, reports suggest the U.S. government is planning to return diplomatic staff to at least eight Middle Eastern embassies.

Airline Stocks Rally, Treasury Yields Fall as Oil Tumbles on Iran Sanctions

Every major US carrier opened higher as crude fell 3% on Iran de-escalation signals, while Treasury yields fell across the curve and energy lagged.

China Is Winning Big From Trump’s 'Self-Inflicted Quagmire' in Iran, Paul Krugman Warns: ‘...Smell the Scent of Desperation’

Economist Paul Krugman explains why China is the true winner of Trump's "self-inflicted quagmire" in Iran and why U.S. sanctions will fail.

Oil is trading higher after President Trump called for heavy economic actions on Iran and warned of severe economic consequences for any country whose financial institutions, businesses, airports or government entities provide a lifeline to Iran. Also, Treasury Secretary Scott Bessent called for tough sanctions and maximum economic pressure on Iran.

'U.S. Close To Striking "Massive" Deal For Venezuelan Oil Fields' - Axios

https://www.axios.com/2026/08/27/trump-venezuela-oil-deal-talks

White House Press Secretary Leavitt Says In Fox News Interview That No New Iran Negotiations Are Taking Place; All Options Remain On The Table