Market Overview

Is Obama's Iran Deal Falling Apart?

Is Obama's Iran Deal Falling Apart?

President Obama has been working to secure a pact with Iran to curb the nation's nuclear activity in exchange for loosened sanctions that have squeezed the nation's economy for years.

While the deal is expected to open up a variety of investment opportunities for the Iranian economy, many see it falling apart before its June 30 deadline, as other key world leaders don't appear to be on board.

Obama Snubbed

On Thursday, the President is scheduled to host a summit in Washington, where he hoped to persuade Arab leaders that a deal with Iran would be beneficial. However, as of Sunday, Saudi Arabia's King Salman and Bahrain's King Hamad bin Isaa Al Khalifa had both pulled out, saying that not enough progress has been made on negotiating the terms of the Iran pact. So far, the President's summit only has two confirmed attendees, the rulers of Qatar and Kuwait.

Related Link: Has Iran Assembled A Nuclear Program Using Alibaba And eBay?

Tension between the U.S. and several Arab nations has been a challenge in negotiating Iran's nuclear deal, as many of the Persian Gulf's leaders believe Washington's terms have been too lenient.

A Host Of Opportunities

A deal in Iran has been closely watched by oil investors, as the loosening sanctions would flood the market with Iranian oil.

However, the deal would have further reaching effects as well. The Iranian economy would benefit tremendously, as it would open up the possibility of more trading partners for everything from automobiles to home goods. The banking sector would see an influx of Iranian cash, as current laws prohibit banks from engaging with the Iranian financial system.

U.S. investors are also likely to take advantage of the deal, as Iran's share market could be a promising opportunity once trade restrictions are lifted.

Image Credit: Public Domain

Posted-In: Bahrain Iran Nuclear Pact King Hamad bin Isaa Al KhalifaCommodities Politics Top Stories Markets General Best of Benzinga


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