Iran Reviews US Response to Hormuz Peace Plan
Iran is reviewing the U.S. response to a proposed plan aimed at ending the seven-month conflict between the two nations and reopening the Strait of Hormuz. Kazem Gharibabadi, Iran’s deputy foreign minister for legal and international affairs, stated that Tehran will share its final position once the internal review is complete. The conditions discussed are reportedly similar to those in the Islamabad pact, which collapsed in June, leading to renewed hostilities.
Meanwhile, the Saudi-backed coalition in Yemen has supported the Yemeni army’s strikes against the Houthi militia. The Houthis have been targeting Saudi cities and tankers in the Bab al Mandab strait. A coalition spokesman confirmed continued operational support for the Yemeni armed forces. The Houthis claimed to have launched drones and missiles at a Saudi Aramco facility in Riyadh, but a Saudi military spokesman dismissed these claims as misleading.
On Friday, G7 countries, led by France, agreed to release 100 million barrels of diesel and crude from emergency reserves. U.S. President Donald Trump announced that the process would begin immediately, leading to a dip in oil prices. Brent crude futures fell 0.76 percent to $101.50 per barrel, while West Texas Intermediate futures dropped 1.16 percent to $90.05. Both benchmarks have risen nearly 40 percent since the start of the year.
State-backed Saudi Aramco cut the November official selling prices of Arab Medium and Arab Heavy grades sold to Asia by $5 a barrel to offset high freight rates. Supertankers carrying Gulf oil to China are earning over $1 million a day, nearly 30 times their 10-year average, due to disruptions in the Strait of Hormuz. Saudi Arabia’s benchmark index rose 1.1 percent on Sunday after a five-day losing streak, while Bahrain and Oman ended higher, and Qatar and Kuwait closed lower. The Dubai and Abu Dhabi stock exchanges are set to open for trading.