President Donald Trump said Monday that “Iran militarily is effectively over” and that he plans to hold off on new strikes for now, remarks that came after he met Qatar’s prime minister at the White House. Oil fell to its lowest level since late August.
Speaking in an unscheduled appearance in the White House briefing room, Trump said the United States was “keeping it the status quo” at the request of Iran’s neighbors, naming Qatar, Saudi Arabia, the United Arab Emirates, Bahrain, Kuwait and others, according to Al Jazeera. Al Jazeera said that would mean continuing the U.S. naval blockade of Iranian ports and a newly announced operation, Task Force Iron Gate, aimed at Iran’s overland and Caspian commerce.
Trump said military action did not seem necessary but that the United States was “locked and loaded” if that changed. Reuters reported that he still will not accept a truce plan Iran has already put forward.
Qatar’s prime minister, Sheikh Mohammed bin Abdulrahman Al Thani, wrote on X that he was “grateful for the positive discussions on reaching a deal.” Tehran’s reaction was sharper. Mohsen Rezaei, secretary of Iran’s Supreme National Security Council, wrote on X that Washington should stop putting out what he called fake news about “imaginary talks.” A Foreign Ministry spokesman defended Iran’s plan as “the most reasonable offer on the table,” Reuters reported.
Brent crude settled down $5.75, or 5.85%, at $92.57 a barrel, and U.S. West Texas Intermediate fell $3.98 to $86.85, according to Reuters and market reports.
The risks to shipping remain high. Reuters, citing international maritime agencies, said attacks on tankers in the Gulf and the Strait of Hormuz are more frequent than at any earlier point in the war. Investors will watch for any response from Washington to the Iranian proposal and for further attacks near the strait.
