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U.S. President Donald Trump described Tehran’s latest response on ending the 10-week conflict as unsatisfactory, triggering immediate volatility in global financial markets.
Trump formally rejected Iran’s most recent peace proposal, calling it “absolutely unacceptable” amid ongoing efforts to preserve a fragile ceasefire. The U.S. leader publicly criticized Tehran’s initiative on social media, saying he was dissatisfied with the stance of the country’s “so-called representatives.” According to Bloomberg, the comments have already strengthened the U.S. dollar against major global currencies.
Nuclear deadlock
Tehran’s proposal envisaged transferring part of its stockpile of highly enriched uranium to a third country. However, Iran firmly refused to dismantle its nuclear facilities. While the semi-official Tasnim News Agency disputed parts of these claims, markets reacted instantly to the breakdown in negotiations.
Pressure on oil markets
The world’s largest oil company, Saudi Aramco, warned that even if the Strait of Hormuz were reopened immediately, it would take months for the market to stabilize. The situation remains critical due to several factors:
– U.S. demands for unrestricted maritime passage;
– political pressure over rising fuel prices ahead of congressional midterm elections;
– Iran’s insistence on unfreezing its assets and lifting sanctions on oil exports.
Tensions persist despite ceasefire
Despite an official truce in place since April 8, the region continues to face security incidents. On Sunday, a cargo vessel caught fire following a drone attack near Qatar. Meanwhile, the United Arab Emirates and Kuwait reported intercepting hostile drones in their airspace.
Israeli Prime Minister Benjamin Netanyahu backed Washington’s hardline stance, stating in an interview with 60 Minutes that the war “is not over.” He emphasized that the international community must intensify efforts to fully eliminate Iran’s nuclear capabilities.
Trump also pointed to the 47-year history of confrontation with Tehran, accusing it of responsibility for American deaths and the recent killing of 42,000 civilian protesters in Iran. While the U.S. president is set to travel to China this week, his administration has signaled the possibility of escalating attacks if Tehran refuses to accept key peace terms.
Separately, U.S. Secretary of State Marco Rubio and White House envoy Steve Witkoff met in Miami with Qatari Prime Minister Mohammed bin Abdulrahman Al Thani to discuss potential pathways toward ending the conflict, according to sources familiar with the talks.
