U.S. Treasury Secretary Scott Bessent said Washington is carrying out a large-scale economic isolation effort dubbed “Operation Economic Outcast” aimed at tightly blockading Iran. He said about 30 million barrels of Iranian crude are unable to be exported and cannot be replenished through new shipments. The Iranian rial has fallen more than 60% since March, inflation has climbed above 80%, and the IMF projects the economy will contract 6.1% this year. Oil flows through the Strait of Hormuz have fallen to about 18 million barrels a day, down from pre-war levels.

U.S. core PCE inflation rose 4.1% year over year in May, the highest since April 2023, driven largely by higher gasoline costs and rising prices for semiconductors and other computer equipment tied to AI demand. Apple said it is raising prices across its Mac and iPad lineup, citing a memory-chip shortage that has lifted component costs. The Commerce Department also revised first-quarter GDP growth up to a 2.1% annual rate, while noting a sharp pullback in consumer spending. Average 30-year mortgage rates stayed near 6.5% and weekly jobless claims fell to 215,000.