Iran Proposes Terms to Reopen Strait of Hormuz as US Considers Response

Geopolitical tensions eased slightly following reports that Iran has offered the United States a new proposal to reopen the Strait of Hormuz, a critical artery for global oil shipments. The development suggests a potential diplomatic opening to resolve the current blockade, though Tehran has set strict conditions for further dialogue. According to the semi-official Tasnim news agency, Iran maintains that nuclear issues will not be discussed until the United States ends its blockade of the strait. This stance indicates that while Tehran is open to restoring maritime traffic, it is not yet ready to return to broader nuclear negotiations. In response to the proposal, President Trump is scheduled to hold a meeting in the White House Situation Room today to evaluate the offer and determine the administration's next steps. The market reacted swiftly to the news, with oil prices paring previous gains and global stock indices advancing as the risk of a prolonged supply disruption diminished. This diplomatic volatility coincides with a critical week for global monetary policy. The Federal Reserve is expected to hold interest rates steady as policymakers monitor the impact of elevated energy costs on inflation. Simultaneously, the Bank of Japan, Bank of England, and European Central Bank are all slated to publish their respective rate decisions this week.