Trump’s softened stance on Iran’s enriched uranium boosts deal prospects, lifting hopes for Strait of Hormuz reopening.
Oil prices fell 7% as markets reacted to reports that Trump has softened demands on Iran’s nuclear program, raising hopes for a diplomatic breakthrough. The shift could ease tensions in the Strait of Hormuz, a critical chokepoint for global oil shipments.
Earlier, oil markets had been under pressure from unconfirmed reports of exchanges of fire near Iranian cities bordering the strait. Despite the ceasefire concerns, physical oil flows remained stagnant, with traders focusing on the potential for reduced geopolitical risk.
Bitcoin surged toward $80K amid the de-escalation, while traders awaited the upcoming PCE inflation report for further market direction.