Global capitals and markets are closely watching Tehran on Thursday for its response to Washington’s latest proposals to end the war in the Middle East and reopen the Strait of Hormuz, a vital artery for oil and gas supplies passing through the Gulf.
اضافة اعلان
Asian stocks rose while oil prices fell after U.S. President Donald Trump reiterated that a deal is "imminent" following positive talks. Iran announced it would convey its final stance on the proposed solution through Pakistani mediators.
Any agreement to extend the ceasefire between the U.S. and Iran is expected to resonate in Lebanon, where an already fragile truce with Israel faced renewed pressure following a strike on Beirut’s southern suburbs that killed a senior Hezbollah commander.
The conflict erupted following a U.S.-Israeli offensive against Iran on February 28, to which Tehran responded with regional attacks and a near-total closure of the Strait of Hormuz—the primary gateway for the Gulf's oil and gas industries, through which one-fifth of global oil production and significant quantities of Liquefied Natural Gas (LNG) typically pass.
Earlier this week, Trump launched a naval operation to escort commercial vessels and forcibly open the strait, only to halt it hours later, citing progress in negotiations mediated by Pakistan and supported by Arab Gulf states.
"Under Review"
"We’ve had very good talks over the last few hours, and it’s very possible that we’ll reach an agreement," Trump told reporters on Wednesday, while repeating his usual threat to resume bombing should Tehran refuse to comply with U.S. demands.
Iranian Foreign Ministry spokesperson Esmaeil Baghaei stated that the U.S. proposal remains "under review" and that Tehran will convey its response to Pakistan—leading the mediation—once it "finalizes its position."
According to an NBC News report, Trump’s latest pivot came after Saudi Arabia—whose Crown Prince Mohammed bin Salman reportedly spoke directly with Trump—refused to allow U.S. forces to use its airspace and bases for a military operation to open the strait by force. Furthermore, Axios reported, citing U.S. officials, that Tehran and Washington are on the verge of agreeing to a one-page memorandum of understanding (MoU) to end the war and establish a framework for negotiations regarding Iran’s nuclear program.
Decline in Oil Prices
Oil prices dropped by another 2% on Thursday, following a nearly 10% decline over the previous two days. Tokyo’s Nikkei index led a strong rally in Asian equity markets, fueled by renewed optimism for an end to the war. While energy prices remain significantly higher than pre-war levels, international Brent crude and U.S. WTI have fallen below the $100 mark.
Markets have been deeply concerned over the Strait of Hormuz, which in peacetime handles 20% of global oil and LNG trade, as well as significant fertilizer shipments. Tensions spiked on Monday when the South Korean freighter HMM Namu caught fire while attempting to transit the strait despite the Iranian blockade.
On the Lebanese front, Israel conducted a strike on Beirut’s southern suburbs on Wednesday—the first such attack in nearly a month—killing a senior commander from Hezbollah’s Radwan Force. The Lebanese Ministry of Health reported at least 11 deaths from airstrikes across southern and eastern Lebanon. Meanwhile, the Israeli military confirmed on Thursday that a drone attack in southern Lebanon the previous day injured four of its soldiers, one of them seriously.
AFP
