Trump Rejects Iran’s Peace Response as Oil Markets Stay on Edge
NBC News reported Sunday that President Donald Trump dismissed Tehran’s latest reply to a U.S. diplomatic proposal, branding it “totally unacceptable” in a post on Truth Social. Iran peace talks have now stalled for weeks, with no resolution in sight.
Trump offered no specifics about what Iran’s response contained. Iranian state media indicated the reply was delivered through Pakistani intermediaries. The president’s frustration was blunt and public, writing that he had read the message and simply did not like it.
Hormuz Standoff Keeps Markets Guessing
The Strait of Hormuz remains closed to commercial traffic, more than a month after a temporary ceasefire was announced. Iran has continued blocking vessel passage through the waterway, which carried roughly 20% of global oil supply before hostilities escalated in late February.
Energy Secretary Chris Wright told NBC News’s Meet the Press that Washington was still awaiting a clear answer from Tehran. Wright outlined two firm U.S. conditions: unrestricted navigation through the strait and an end to Iran’s nuclear program. He suggested energy prices would fall quickly once Hormuz traffic resumed freely.
U.S. Ambassador to the United Nations Mike Waltz separately told ABC News that negotiations had moved slower than anyone expected, though he stressed diplomacy was still ongoing.
Background: A Conflict That Began in February
The U.S. and Israel launched strikes against Iran on February 28, triggering the broader confrontation. Washington subsequently imposed a naval blockade on Iranian ports, cutting off Tehran’s primary source of oil revenue.
Intelligence assessments reviewed by NBC News suggested Iran could likely absorb that economic pressure for several months. Analysts noted Iran has begun trimming oil production under blockade conditions and could face storage constraints within two months. Still, most experts cautioned the regime is far from an immediate economic breaking point.
Trump’s own “Project Freedom” initiative, designed to use military vessels to escort commercial ships through Hormuz, was suspended last week just days after its announcement.
Where Talks Stand Now
In a Friday phone interview with NBC News, Trump said the conflict was not over, describing it as finished “when it’s over.” He portrayed the U.S. as holding dominant control over Hormuz and claimed Iranian commerce had effectively ground to a halt.
Iran’s Foreign Minister Abbas Araghchi pushed back, accusing Washington of abandoning diplomacy for military escalation whenever a solution appeared close. Oil markets had rallied last week on hopes a deal was near. That optimism now appears premature.
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