Meanwhile in Iran

Iran’s commitment to the 2015 nuclear deal will face another test starting November 5, when US sanctions targeting the country’s oil sector come back into effect. When Tehran concluded the agreement with six world powers—the United States, Russia, China, France, Great Britain, and Germany—it agreed to stringently limit nuclear activities in exchange for sanctions relief. The government of President Hassan Rouhani, and millions of ordinary Iranians, hoped this would bring major economic benefits by allowing foreign companies to do business with Iran. Despite the fact that Iran was complying with the terms of the deal—as documented by the International Atomic Energy Agency and the US State Department—the Trump administration decided on May 8 that it would reimpose the lifted sanctions, violating the agreement and dealing a harsh blow to Iran’s economy. That left Iran with a decision to make: Continue to comply with the agreement—known as the Joint Comprehensive Plan of Action, or JCPOA—which still had the support of the five other parties and the European Union? Or resume and expand nuclear activities the deal had restricted?

  The Bulletin

The Trump administration reinstated all sanctions removed under the 2015 nuclear deal, targeting both Iran and states that trade with it.

They will hit oil exports, shipping and banks - all core parts of the economy.

Thousands of Iranians chanting "Death to America" rallied on Sunday, rejecting calls for talks.

Iranian President Hassan Rouhani has vowed to sell oil and break the sanctions.

The military was also quoted as saying it would hold air defence drills on Monday and Tuesday to prove the country's capabilities.

[...]

Before travelling to a campaign rally for the US mid-term elections, President Donald Trump said Iran was already struggling under his administration's policies.

He called the sanctions, "very strong", saying: "We'll see what happens with Iran, but they're not doing very well, I can tell you."

[...]

"We are working diligently to make sure we support the Iranian people and that we direct our activity towards ensuring that the Islamic Republic of Iran's malign behaviour is changed," US Secretary of State, Mike Pompeo, told Fox News on Sunday.

[...]

The US has been gradually re-imposing sanctions, but analysts say this latest round is by far the most significant.

More than 700 individuals, entities, vessels and aircraft are now on the sanctions list, including major banks, oil exporters and shipping companies.

Mr Pompeo said more than 100 big international companies had withdrawn from Iran because of the looming sanctions.

He also said Iranian oil exports had dropped by nearly one million barrels a day, choking the main source of funding for the country.

In addition, the Brussels-based Swift network for making international payments is expected to cut off links with targeted Iranian institutions, isolating Iran from the international financial system.

  BBC

And how is that not going to affect the Iranian people?

The UK, Germany and France - which are among the five countries still committed to the nuclear pact - have all objected to the sanctions.

They have promised to support European firms that do "legitimate business" with Iran and have set up an alternative payment mechanism - or Special Purpose Vehicle (SPV) - that will help companies trade without facing US penalties.

However, analysts doubt this will materially lessen the impact of sanctions on Iran.

And in recent days US Treasury Secretary Steven Mnuchin said the US would "aggressively" target any firm or organisation "evading our sanctions".

The Trump administration has granted exemptions to eight countries to continue importing Iranian oil, without naming them.

They are reported to include US allies Italy, India, Japan and South Korea, along with Turkey and China.

[Iran's President Hassan Rouhani] struck a defiant tone, saying that Iran would "continue selling oil".

"We will proudly break the sanctions," he said at a meeting of economic officials.

[...]

Even before the US sanctions were re-imposed, Iran's economy had had a difficult year, with Iran's currency, the rial, plummeting against the dollar, driving up the price of basic goods.

[...]

[Trump] offered Iran sanctions relief in exchange for reducing its nuclear development. The global nuclear watchdog, the IAEA, says that Iran has complied with the agreement.

President Trump says that he wants to get Iran back to the negotiating table.

His administration also says it wants to stop what it calls Tehran's "malign" activities including cyber attacks, ballistic missile tests, and support for terror groups and militias in the Middle East.

The president says his "maximum pressure" strategy is working. "[Iran] wanted to take over the whole Middle East. Right now they just want to survive," he told a rally in Tennessee, Reuters reported.

[...]

Secretary of State Mike Pompeo said the US aimed to reduce Iranian oil sales to zero.

  BBC

But do everything we can to support the Iranian people, right?

...but hey, do what you want...you will anyway.