- Analytics
- News and Tools
- Market News
- US Senators want secondary sanctions on Russian oil
US Senators want secondary sanctions on Russian oil
Democratic and Republican senators on Tuesday proposed that U.S. President Joe Biden's administration use secondary sanctions on international banks to strengthen a price cap G7 countries plan to impose on Russian oil over Moscow's invasion of Ukraine, per Reuters.
Key quotes
Democratic Senator Chris Van Hollen and Republican Senator Pat Toomey announced a framework for legislation to impose the secondary sanctions, which would target financial institutions involved in trade finance, insurance, reinsurance and brokerage of Russia oil and petroleum products sold at prices exceeding the cap.
Both senators are members of the Senate Banking Committee, which oversees sanctions policy.
The Biden administration has been reluctant to impose secondary sanctions, concerned they could complicate relations with importers of Russia oil like China and India.
Elizabeth Rosenberg, Treasury Assistant Secretary for Terrorist Financing and Financial Crimes, told the hearing the price cap was a powerful tool to hit Russia and stabilize energy prices.
Rosenberg indicated that Treasury will in coming weeks release guidelines to address the issue.
Market reaction
The news adds strength to the risk-aversion and exerts downside pressure on the AUD/USD prices but fails to propel the oil to the north amid recession fears.
Also read: WTI falls further ahead of the Fed
© 2000-2025. All rights reserved.
This site is managed by Teletrade D.J. LLC 2351 LLC 2022 (Euro House, Richmond Hill Road, Kingstown, VC0100, St. Vincent and the Grenadines).
The information on this website is for informational purposes only and does not constitute any investment advice.
The company does not serve or provide services to customers who are residents of the US, Canada, Iran, The Democratic People's Republic of Korea, Yemen and FATF blacklisted countries.
Making transactions on financial markets with marginal financial instruments opens up wide possibilities and allows investors who are willing to take risks to earn high profits, carrying a potentially high risk of losses at the same time. Therefore you should responsibly approach the issue of choosing the appropriate investment strategy, taking the available resources into account, before starting trading.
Use of the information: full or partial use of materials from this website must always be referenced to TeleTrade as the source of information. Use of the materials on the Internet must be accompanied by a hyperlink to teletrade.org. Automatic import of materials and information from this website is prohibited.
Please contact our PR department if you have any questions or need assistance at pr@teletrade.global.
Bank transfers
