I'm LongbridgeAI, I can summarize articles.U.S. President Donald Trump expressed skepticism about a new peace proposal from Iran, stating he doubts its acceptability. The proposal, delivered via Pakistani mediators, may involve reopening the Strait of Hormuz for sanctions relief and nuclear negotiations. Despite initial market optimism, volatility persists as Trump remains unsatisfied with Tehran's terms. Analysts warn of risks to oil prices if a deal isn't reached, and Trump has discussed military options if talks fail, indicating ongoing tensions in the energy and defense sectors.
Investing.com - U.S. President Donald Trump announced on Sunday that he will soon review a new peace proposal from Iran, though he expressed deep skepticism regarding its potential for success.
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In a post on Truth Social, the President stated he "can’t imagine" the plan would be acceptable, arguing that Tehran has "not yet paid a big enough price" for its actions over the last 47 years.
The proposal, reportedly delivered via Pakistani mediators, follows weeks of intense back-channel diplomacy aimed at ending the 2026 Iran war.
While specific details remain unconfirmed, sources suggest the offer may involve reopening the Strait of Hormuz in exchange for sanctions relief and a return to nuclear negotiations.
Despite the diplomatic efforts, Trump told reporters he remains "not satisfied" with Tehran’s terms, noting that "they’re asking for things I can’t agree to".
Market volatility persists amid negotiating deadlock
Investors are closely monitoring the diplomatic developments as the indefinite ceasefire remains fragile. Analysts at Investing.com noted that while the prospect of a deal initially spurred a relief rally in global equities, the "closure of the Strait of Hormuz is already priced in".
Market experts warn that "significant downside risks to oil prices" persist if a durable de-escalation is not reached soon.
The President has recently briefed military leaders on options to "blast the hell out of" Iranian infrastructure if talks collapse.
With the two sides remaining far apart on nuclear restrictions and the duration of any moratorium, volatility is expected to remain high in the energy and defense sectors.