US-Iran Meeting Sends De-Escalation Signal, Oil Prices Plunge Over 2%

A three-hour meeting between US and Iranian officials has sent a signal of de-escalation in the Middle East, causing oil prices to plummet. The talks, described as 'productive' by President Trump, included a discussion on reopening the Strait of Hormuz, with Iran proposing a seven-day timeline for lifting its blockade. However, the two sides sent divergent signals regarding the timeline, with Iranian officials later denying reports that they had proposed opening the strait within a week.

Trump stated that there is 'a lot of momentum' toward a deal with Iran and expressed his willingness to meet directly with Iranian officials in New York. He also mentioned that he believes an agreement could be reached after the midterm elections. In contrast, Hossein Mohebbi, spokesman for Iran's Islamic Revolutionary Guard Corps, emphasized that negotiation does not mean compromise and that Iran's armed forces are fully prepared for war.

The meeting was attended by Qatar's prime minister, and sources said it was planned in advance. The de-escalation signals and resumption of Saudi Arabian crude exports from Yanbu port have contributed to the decline in oil prices, with WTI crude falling 2.37% to $89.48 per barrel.