Summary
- President Trump said China’s help is not needed to end the Iran war.
- Markets interpreted the remarks as a sign the US will maintain a US-led pressure campaign rather than pursue indirect negotiations.
- As tensions in the Strait of Hormuz persist, international oil prices have climbed, with Brent futures and WTI futures trading around $107 and $101 a barrel, respectively.
Forecast Trend Report by Period
President Donald Trump said the US does not need China’s help to end the war with Iran.
Trump made the remarks to reporters ahead of a summit in Beijing on May 12, Reuters reported. He said he does not believe China’s assistance is necessary to resolve the Iran issue and that the US will ultimately handle it, "whether peacefully or not."
The comments came ahead of a US-China summit. Markets interpreted them as a sign Trump is reaffirming a US-led pressure campaign rather than seeking indirect negotiations through China.
The US and Iran have maintained a ceasefire for more than a month, but talks have stalled over differences on Iran’s nuclear program and control of the Strait of Hormuz.
Iran is seeking compensation for war damage, sanctions relief and an end to the maritime blockade. The US has asked Iran to halt its nuclear program and loosen control over the Strait of Hormuz, according to Reuters.
Iran is also moving to expand its influence over the waterway. Reuters reported that Tehran signed agreements with Iraq and Pakistan related to shipments of crude oil and liquefied natural gas, or LNG.
The Strait of Hormuz is a key shipping route that handles about 20% of global oil supply. As tensions persist, international oil prices have continued to climb. Brent futures rose above $107 a barrel on the day, while West Texas Intermediate futures traded around $101.
Suehyeon Lee
shlee@bloomingbit.ioI'm reporter Suehyeon Lee, your Web3 Moderator.
