US President Donald Trump said his officials had “very good” talks with Iranian envoys in New York, reviving hopes for a diplomatic off-ramp hours after he threatened to “annihilate” the country’s ruling regime. Steve Witkoff, a Trump envoy, and Jared Kushner, the president’s son in law, participated on behalf of the US. Witkoff said the negotiations were conducted through mediators shuttling between each delegation. Iran’s state media said the country was represented by the foreign minister, Abbas Araghchi, and that the US had requested the meeting. Iran laid down “firm positions” for the reopening of the Strait of Hormuz, IRIB News reported, citing an unnamed source. Tehran’s conditions include the US immediately lifting a naval blockade, unfreezing Iranian assets and ending the war “on all fronts,” IRIB said, in an apparent reference to Lebanon and Yemen. Trump said the three-hour session — held on the sidelines of the United Nations General Assembly — was “very productive” and another was being planned for the near future. The talks were the first between Iran and the US since around mid-June, shortly after the signing of a short-lived truce. Oil has pared gains this week on signs of renewed diplomacy between the sides to end the conflict or at least restart a ceasefire. Brent crude is down more than 5% to around $98.50 a barrel. It’s still up 62% this year, while US diesel pump prices are at a record high.
But it’s not clear what, if any, progress was made in New York and the US president has recently predicted the conflict will drag on past the midterms on Nov. 3.
The tone of Trump’s remarks about the US-Iran meeting contrasted with his stance during his speech to the General Assembly earlier on Tuesday. Then, he repeated threats to wipe out the country unless its leaders come to an agreement. Oil Dips on Fresh Iran-US Diplomacy
But it remains around 60% higher this year
“Will a deal be made with Iran that lets them rebuild and create a far greater country than it ever was before — maybe one of the greatest in the Middle East or even the world — or do I annihilate the Islamic Republic and do it quickly?” Trump said. Before arriving in New York, Trump indicated he was open to meeting Iranian President Masoud Pezeshkian, who is set to make his General Assembly speech on Wednesday.
Trump’s contradictory remarks demonstrated his penchant for swerving between renewed threats and promises of imminent peace. He is under pressure to end the war as soon as possible given its unpopularity with voters at home.
More ships are getting through the chokepoint, but in much smaller volumes than before the war and only with the help of the US military. Iran insists it now has the right to control which ships can enter the Persian Gulf through the strait, which the US says is unacceptable. This month, the Houthis, an Iran-backed group based in Yemen, have stepped up attacks on Saudi Arabia, including on its energy infrastructure. The kingdom also had to shut down its main oil-export pipeline following a drone attack from Iraq, where many pro-Tehran militias are based.
NN: How many times have we been on this Trump roller coaster ride. At the end of the day its ALWAYS the same. No real peace deal and no oil. And prices head right back up again.