The US-Iran Conflict Again Affects the Global Oil Market

The US and Iran continue to prepare for a possible new escalation of the conflict, despite Donald Trump's statements about the chances for a peace agreement. The main obstacle to negotiations remains the issue of Iran's nuclear program and enriched uranium.

Despite the American president stating that there are "good chances" for the countries to reach a peace agreement, both nations are preparing troops in case of new strikes. As before, the main unresolved issue for resolving the conflict remains enriched uranium in Iran.

Iran Prepares for Possible Strikes from the US

Tehran has prepared a new plan in case of a repeat attack by the US. This was reported by an Iranian military source commenting on a possible renewed attack on Iran.

"We have prepared new tactical actions and approaches based on our defense-offense doctrine. In terms of armaments and defense capability, we have no problems," said the Iranian military.

Previously, US President Donald Trump stated that American forces would resume strikes on Iran. However, he later postponed the start of military actions by a week. As the head of the White House explained, he is ready to give Tehran another chance to resolve the conflict peacefully.

"I’m saying: two or three days. Maybe Friday, Saturday, Sunday. Maybe the beginning of next week. A limited time frame. Because they cannot have nuclear weapons," he clarified while answering reporters' questions at the White House.

As Trump noted, representatives from Qatar, Saudi Arabia, the UAE, and several other countries are in direct contact with both the American side and Iran. According to him, there are "good chances" for achieving peace.

"The chances that they can achieve something seem very good," he said.

Oil Prices Begin to Fall

Following Trump’s statement that he is temporarily postponing the resumption of strikes on Iran, the price of oil began to decrease. On Tuesday, May 19, the price of black gold fell by 2%, according to trading data.

As of 07:33 Moscow time, the price of July futures for Brent crude oil decreased by 2.03% compared to the previous close — to $109.82 per barrel, while July futures for WTI fell by 1.59% — to $102.72.

In the editorial's opinion, the situation around Iran remains extremely unstable: diplomatic contacts continue alongside preparations for possible strikes. Even a temporary reduction in tension is already affecting global oil markets, but any new escalation of the conflict could again provoke a sharp rise in prices and increase instability in the Middle East.