SouthernWorldwide.com – President Trump expressed optimism on Thursday regarding the ongoing conflict with Iran, stating that the war would conclude swiftly. This sentiment comes as Iran claims to have established control over the Strait of Hormuz, a critical maritime route.
In an update on the situation, Iran announced that it is reviewing the latest proposal from the United States aimed at ending the war. Simultaneously, Iran is working to solidify its authority over the Strait of Hormuz, which has been effectively closed since early March due to the conflict. Shipping intelligence firm Lloyd’s List reported that the strait is now closed, with an Iranian agency newly established to manage vessel transit approvals.
President Trump reiterated his hope for a peace deal, asserting that the war is progressing “unbelievably well” and would be “over quickly.” However, he also issued a warning that if Iran rejects the U.S. offer, higher-level military strikes could be ordered.
These statements from President Trump appear to have had a positive impact on financial markets, leading to a decrease in oil prices and a rise in stock values. Early Thursday trading saw both Brent crude and U.S. benchmark West Texas Intermediate trading below $100 a barrel.
The conflict has significantly impacted global oil prices. Oil prices dropped by more than 2% on Thursday, following a nearly 10% decrease over the preceding two days. International benchmark Brent crude and U.S. West Texas Intermediate are now both priced below $100 per barrel.
Meanwhile, shipping intelligence firm Lloyd’s List has reported that the Strait of Hormuz is currently closed, with no ship transits recorded since May 4th. This closure has been in effect for 69 days.
Iran has reportedly established a new entity, the Persian Gulf Strait Authority (PGSA), to oversee ship transits and collect tolls within the Strait of Hormuz. According to Lloyd’s List, Iran has provided ship operators with an application form requiring detailed information about vessel ownership, insurance, crew, and intended transit routes.
The firm stated that Iran, through the PGSA, has positioned itself as the sole authority responsible for granting permission for ships to traverse the Strait of Hormuz.
French President Emmanuel Macron spoke with Iranian President Masoud Pezeshkian on Wednesday, condemning the attacks on Emirati civilian infrastructure and ships near the Strait of Hormuz as “unjustified.” Macron urged both the U.S. and Iran to lift their respective blockades on shipping in the strait without conditions.
Macron highlighted the necessity of an initiative, led by France and the UK, to ensure safe passage for commercial vessels through the strait once the war concludes. He mentioned plans to discuss this mission with President Trump.
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The Iranian presidency reported that Pezeshkian told Macron that any negotiations regarding the full reopening of the Strait of Hormuz would require the lifting of the U.S.-imposed naval blockade.
President Trump also stated that there is “never a deadline” for negotiations with Iran, indicating that a resolution would be reached in due course. He had previously set deadlines for negotiations, which were subsequently extended to allow for continued dialogue.
Earlier on Wednesday, Trump informed the New York Post that it was premature to send senior U.S. officials to Iran for further in-person discussions.
Gasoline prices in the United States have risen to an average of $4.54 per gallon on Wednesday, marking the highest level since July 2022, according to AAA data. The price of regular gas has increased by 52%, or $1.56 per gallon, since the commencement of the Iran war in late February.
This surge in fuel costs is attributed to disruptions in oil flows from the Middle East. The current price approaches the record high of $5.02 per gallon recorded in June 2022 during a period of pandemic-related inflation.
Despite a slight decrease in oil prices on Wednesday due to renewed hopes for a U.S.-Iran agreement, fuel costs have continued to climb, indicating a divergence between crude oil markets and consumer prices at the pump.
President Trump insisted that Iranian leaders “want to make a deal” and that the war is progressing “unbelievably well” for the U.S. He told reporters that “very good talks” had occurred over the past 24 hours, suggesting the possibility of reaching a deal.
The exact nature of these talks, whether direct or mediated, remains unclear. Trump acknowledged past negotiations that were followed by reversals in Iran’s stance.
Earlier on Wednesday, Trump described the war with Iran as going “unbelievably well.” He also drew a comparison to the swift operation in Venezuela that led to the capture of Nicolas Maduro, stating that the current situation in Iran, while larger, is progressing similarly well.
