Live Update
From the Liveblog of
Friday, January 23, 2026
US, in control of oil dollars, heaps pressure on Iraq over Iranian influence

Fighters from the Popular Mobilization Forces attend the funeral of a commander from the Kataib Hezbollah paramilitary group killed in a US airstrike, in Baghdad, Iraq on February 8, 2024. (AP/Hadi Mizban, File)
Washington has threatened senior Iraqi politicians with sanctions targeting the Iraqi state — including potentially its critical supply of oil revenue sourced via the Federal Reserve Bank of New York — should Iran-backed armed groups be included in the next government, four sources tell Reuters.
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