US President Donald Trump said on Sunday (24) that he had instructed his representatives not to rush an agreement with Iran, while his administration lowered expectations of an immediate breakthrough in negotiations to end the conflict in the Middle East. According to Trump, the US blockade of Iranian ships in the Strait of Hormuz will remain in effect “until an agreement is reached, certified and signed.” “Both sides must remain calm and do everything right,” the Republican wrote on the Truth Social network. The Iranian agency Tasnim, linked to the Iranian Revolutionary Guard, stated that the US is still hindering important points of a possible agreement, including Tehran's demand for the release of Iranian assets frozen abroad. On Saturday (23), Trump had stated that Washington and Tehran had already “largely negotiated” a memorandum of understanding for an agreement that would reopen the Strait of Hormuz, a route that before the war accounted for about 20% of the global flow of oil and liquefied natural gas. Despite diplomatic progress, significant impasses remain involving the Iranian nuclear program, Hezbollah's actions in Lebanon, and Iranian demands for an end to economic sanctions. Even with the uncertainties, the market adopted a more optimistic stance, putting pressure on oil prices in the international market. On Monday morning (25), Brent was trading below US$100 per barrel again, while WTI fell to the US$90 per barrel range.
It is worth noting that the WTI contract will not close this Monday due to the holiday. Memorial Day, which suspends negotiations in New York Mercantile Exchange (Nymex)Meanwhile, Brent contracts continue to be traded normally on the market. Intercontinental Exchange (ICE).
The situation also favored a partial resumption of navigation in the Strait of Hormuz. According to navigation data, two tankers loaded with liquefied natural gas left the region bound for Pakistan and China. In addition, a supertanker carrying Iraqi oil left the Gulf for China after being detained for almost three months.
This text was translated by machine from Brazilian Portuguese.