Iran and Oman are nearing the final stages of an agreement regarding the Strait of Hormuz, while U.S. President Donald Trump has said that talks with Tehran were progressing.
Speaking on Wednesday evening, Trump repeated his claims that Iran had asked the U.S. to call off a major attack over the weekend.
“They wanted to negotiate and we’re doing that and it seems to be working out quite well,” Trump said, without providing specifics. But he also warned that “it may be or it may not be.”
Earlier this week, Trump said a deal to reopen the Strait of Hormuz was imminent, but warned Iran that it could face more attacks if it does not accept a deal. Iran has told Gulf countries that any new U.S. attack on Iranian territory would spark strikes on critical energy infrastructure across the region, Reuters reported.
Meanwhile, Tehran has refuted Trump’s claims, stating that it was only negotiating with mediators in Oman, and that a deal on the conduit was likely to be delayed should a U.S. naval blockade remain in effect. Iran said it had agreed with Oman to the geographic coordinates for a shipping route through the Strait of Hormuz, and that a joint announcement was in its last stage.
Investors have retained mostly guarded hopes for a prolonged de-escalation in the months-long Iran war, with analysts highlighting a recurring cycle of threats and pullbacks.
Oil prices edged higher to sit at roughly $80 a barrel on Thursday, although the prospect of an unblocked strait has pushed down crude prices by more than 9% over the past one-week period. Last month, Iran’s move to effectively restrict tanker traffic through the vital waterway triggered a brief surge in crude to around $100 a barrel.
Separately, Trump claimed that the U.S. has “massive amounts of munitions” and more were being manufactured, rebuffing reports of declining U.S. armament stockpiles.
“The ’leakers’ of these treasonous statements are being hunted down. Long term jail sentences will be sought,” Trump said in a social media post on Wednesday evening, appearing to reference a slew of media reports this week.
NBC News reported on Wednesday that the Pentagon held an emergency meeting over a weapons shortfall. Earlier in the day, the Washington Post reported Trump had clashed with Defense Secretary Pete Hegseth over munitions shortages.
Reuters also reported on Tuesday that the U.S. had used “virtually all” of its long-range precision missiles during the Iran war.
Source: Investing.com
