Oil prices fell after U.S. President Donald Trump announced that he had called off a planned strike on Iran:
"We have just been asked by Iran, and other Middle Eastern Countries, to hold off any attack in that the perimeters of a deal has been agreed to," Trump said in a Truth Social post.
This article mentions that West Texas Intermediate futures for September delivery declined nearly 6% to $79.57 per barrel, while Brent crude futures for October delivery lost 4.88% to $83.64 per barrel.
Trump stated that the proposed agreement would include the "Immediate, Complete, and Total OPENING OF THE HORMUZ STRAIT, and an end to Iran's nuclear threat." Reports suggest that Trump has been weighing another round of strikes on Iran amid fading prospects for a diplomatic resolution to the conflict.
Tehran responded cautiously to Trump's announcement:
"Although the enemy's recent statements are part of a psychological and cognitive warfare campaign, we consider every threat to be real and take it seriously," said Seyyed Majid Ibn Al-Reza, Iran's acting defense minister.
Iran's Fars International news agency, affiliated with the Islamic Revolutionary Guard Corps, dismissed Trump's proposal, stating in a Telegram post that his demands amounted to a "wish list."
