Trump's actions are guided by a political balancing act. Research shows negative media mentions spike when gasoline exceeds $3.50/gallon. Conversely, crude below $50-$60/barrel hurts his producer base. This creates a "parabola of political price pressure," incentivizing him to keep prices within a politically safe band.

Despite market fears over Iran and Russian sanctions, J.P. Morgan believes no real supply disruption will occur. The White House's focus on midterm elections will prevent escalations that impact oil supply, and Russia can easily sell its crude at a discount, leading to a surplus.

A clean, external removal of Iran's leadership, similar to what occurred in Venezuela, is unlikely. Iran's population is nearly four times larger, it is geographically distant, and the American political psyche associates the Middle East with costly military entanglements, creating a much higher barrier to intervention.

Despite his stated goal of lowering oil prices, President Trump's aggressive sanctions on Venezuela, Iran, and Russia have removed significant supply from the market. This creates logistical bottlenecks and "oil on water" buildups, effectively tightening the market and keeping prices higher than they would be otherwise.

The public threats of a military strike against Iran may be a high-stakes negotiating tactic, consistent with Trump's style of creating chaos before seeking a deal. The goal is likely not war, which would be politically damaging, but to force Iran into economic concessions or a new agreement on US terms.

The shutdown of Iranian oil fields caused global prices to surge, leading to gas lines and high inflation in the US. This economic pain, more than the foreign policy failure itself, crippled Jimmy Carter's presidency by translating a distant revolution into a tangible, politically toxic domestic issue.

U.S. foreign policy actions against Venezuela and Iran are not primarily about democracy but are strategic moves to disrupt the flow of cheap, sanctioned oil to China. By controlling these sources, the U.S. can directly attack a key adversary's economic and military engine.

Since the U.S. is a net oil exporter, controlling massive reserves like Venezuela's is less critical. The real power now lies in controlling the flow of oil to adversaries like China, which is dependent on imports and could be crippled by a supply cutoff.

Regional stability is an economic necessity for oil-rich nations. Peace allows them to accelerate monetization of their finite oil reserves and reinvest the capital into diversified, future-proof economies like AI and tourism before alternative energy devalues their primary asset.