U.S. Revokes Iran Oil License Amid Major Airstrikes and Global Market Shock

The conflict between the United States and Iran escalated sharply over the last 24 hours as the Trump administration shifted toward a strategy of total economic isolation. The U.S. Treasury Department formally revoked General License X, effectively banning Iran from selling oil in U.S. dollars. The move triggered immediate volatility in global markets, including a 6% surge in oil prices and a $700 billion loss in Asian stock values. Complementing this economic pressure, U.S. Central Command launched strikes against roughly 90 Iranian targets, including air defense systems and port infrastructure, following continued threats to commercial vessels in the Strait of Hormuz. Diplomatically, the crisis has unified Western allies, with NATO Secretary General Mark Rutte declaring full support for President Trump’s actions. This alignment comes as the U.K. Maritime Trade Operations Centre raised the threat level in the Strait of Hormuz to 'severe.' In response, Iranian officials have instructed all vessels to navigate closer to the Iranian coastline, a move experts warn could increase the risk of accidental civilian casualties and complicate maritime transit. While a seven-day grace period for existing oil transactions remains in effect until July 17, the collapse of the dollar-based sales mechanism is expected to force Iran into high-risk barter arrangements. On the ground, the Iranian Revolutionary Guard retaliated by targeting U.S. military installations in Bahrain and Kuwait. Despite the exchange of fire, the strategic focus has moved toward structural and economic warfare. U.S. officials have signaled that further aggression toward shipping could lead to strikes against Iran’s broader civilian infrastructure. Meanwhile, formal peace talks have been temporarily suspended as Iran prepares for the funeral of Ayatollah Khamenei.