US-Iran Talks Disputed After Ship Hit in Hormuz
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- Trump said negotiations with Iran were underway at the request of Gulf states, calling it a 'last chance' for Tehran to sign a deal, following his cancellation of planned military strikes.
- Iran denied any direct talks with the United States, with Foreign Ministry spokesman Esmail Baghaei stating no meetings were scheduled and all negotiators were inside the country except Abbas Araqchi, who was in Iraq on pilgrimage.
- A cargo vessel was hit by an unknown projectile near the Strait of Hormuz off Oman’s coast, according to the UK Maritime Trade Operations agency, reinforcing the region's volatility.
- Oil prices fell about 7% to $83.77 a barrel on Monday despite the attack, as hopes for a diplomatic resolution rose, while the Dow closed at a record high.
- Trump claimed Iran’s leadership was 'unbelievably duplicitous' on Truth Social, asserting further talks were set for the 'immediate future' and that the U.S. Navy had total control over Hormuz.
- The June memorandum between the U.S. and Iran remains disputed, with Washington claiming it required Iran to open the strait, while Tehran says it preserved its authority over shipping traffic.
Why it matters: Global oil markets remain vulnerable to disruption as conflicting signals between Washington and Tehran delay resolution, even as attacks persist and trust erodes—Brent crude swung nearly 7% in one day on unverified talk of diplomacy, showing how fragile price stability has become amid unresolved strategic ambiguity.
