US Treasury Secretary Predicts Falling Oil Prices Post-Iran Conflict

Treasury Secretary Scott Bessent forecasts a significant drop in oil prices, estimating a range of $40 to $50 per barrel once the Iran conflict concludes. He attributes this potential decline to an anticipated surge in supply that will enter the market once current constraints are eliminated.

During an interview on “My View with Lara Trump,” Bessent expressed confidence in the American economy, describing it as “very strong” and experiencing a “productivity burst.” He spoke to members of the media outside the White House in Washington, D.C., on November 5, 2025.

Bessent stated, “On the other side of this, we actually could see oil prices $40 or $50 because there’s so much supply coming on. It’s just constricted right now.”

Bessent emphasized the underlying strength of the economy, highlighting strong job and wage growth. He described the current “energy supply shock” as temporary and positioned the U.S. as an “energy superpower” and a frontrunner in artificial intelligence and global computing power.

Addressing wage trends, Bessent mentioned that Americans, especially those at the lower end of the wage spectrum, are marginally surpassing inflation rates. “Americans, on average, are breaking even. Working-class Americans at the bottom of the wage spectrum are doing a little better than inflation, but we don’t believe that that is acceptable,” he said.

He anticipated continued wage increases, citing a “manufacturing renaissance” and a “construction renaissance” as key drivers. “These wage increases are going to keep going. We’ve got a manufacturing renaissance, a construction renaissance. So the wages will keep going, this war will end, and those will turn into real wage gains,” Bessent added.

Amid ongoing tensions between Washington, D.C., and Tehran, Bessent discussed the strategic significance of the Strait of Hormuz. He predicted that this chokepoint would soon become less critical to global oil trade as Gulf nations plan additional pipeline routes to bypass the area, weakening Iran’s influence over oil flows.

“This is the greatest economic isolation operation in the history of the world. We are going to asphyxiate this regime,” Bessent remarked, referencing the combined effects of the blockade and sanctions. He described these measures as “one of the most powerful one-two punches in the history of economic isolation.”

Bessent expressed optimism for a safer post-conflict world where Iran cannot develop nuclear weapons, and highlighted economic progress as reaching a “lift-off phase.”

Max Bacall, an associate editor for Fox News Digital, contributed to reporting on media, culture, and comedy for this article.