Biden Vows to Counter Iran Proxies, Oil Below $73: Iran Snapshot

(Bloomberg) -- Here is a snapshot of what’s happening with news relating to Iran, the status of nuclear talks and energy markets.

Latest Developments

President Joe Biden told his Israeli counterpart the U.S. is determined to counter Iran’s “malign activity and support for terrorist proxies,” after Washington struck Iran-backed militias in Iraq and Syria on Sunday.

The U.S. said its forces in Syria were attacked by rockets on Monday, in what appeared to be a retaliatory attack. The U.S. did not name the assailants or location but said there were no injuries. Syria’s state news agency said the attack took place at a U.S. base inside an oil field in Deir Ezzour on the border with Iraq.

Biden also told Israel’s President Reuven Rivlin in the White House meeting on Monday that Iran will never get a nuclear weapon. Washington, along with other world powers and Iran, has not said when stalled talks might resume over Tehran’s nuclear work.

Envoys in Vienna are seeking to revive a 2015 deal which lifted sanctions on Iran in return for limiting its atomic program. There is also still no word on whether Iran will extend a monitoring pact with the Vienna-based International Atomic Energy Agency. The ambiguous status of that accord, which expired on June 24, affects the broader nuclear deal because it concerns sensitive enrichment information that Iran has threatened to delete.

Latest coverage

• Biden Defends Strikes on Iran-Backed Militias, Rebuts Critics
• Biden Tells Israel That Iran Will Never Get a Nuclear Weapon
• Iran: No Decision Yet on Extending IAEA Nuclear Monitoring Pact
• Without Nuclear Deal, How Close Is Iran to a Bomb?: QuickTake

Oil

Oil extended losses on Tuesday, with futures in New York falling back below $73 a barrel. The market is mainly being driven by concerns about demand due to rising coronavirus cases. This comes ahead of an OPEC+ meeting on Thursday where the issue of whether the U.S. will lift sanctions on Tehran and allow it back into the global oil market has become increasingly important.

Agenda

July 1: OPEC+ holds its next full meeting. Iran’s position may be a key talking point, as it will complicate the group’s decision over whether or not to raise output beyond July.

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