United States President Donald Trump asserted on Thursday that Washington does not need a deal with Tehran, citing US control over Iranian funds and the Strait of Hormuz.
The remarks rippled across financial markets on Wednesday, driving Brent crude futures up 1.4 percent past 94 dollars a barrel as losses were quickly erased, Bloomberght reported. US Treasury yields declined by 3 to 7 basis points across the curve, led by short- and medium-term maturities, while pricing for Federal Reserve rate hikes reflected a 29-basis-point tightening for December.
Trump Rejects Tehran Deal and Points to Hormuz Control
Posting on social media earlier on Wednesday, Trump declared that the era of negotiating with Iran is over. “We don’t need a deal with Iran. Those days are long gone. We have their money—hundreds of billions of dollars—and we have the strait!” he wrote, according to Anadolu Ajansı.
The announcement followed comments made earlier in the week at Arlington National Cemetery during Veterans Day ceremonies, where Trump said that Washington is aiming for “total victory” in the conflict, Cumhuriyet reported.
“We hit them hard and we won. It’s just a question of when we want to end it.”
said Donald Trump, President of the United States, at Arlington National Cemetery, as reported by Cumhuriyet.
Trump claimed that US military actions had severely degraded Tehran’s capabilities and that rebuilding would take at least 25 years. He said that the campaign began seven months ago, with intense fighting lasting only a few weeks and resulting in the deaths of 18 US service members.
Iran Sets Conditions for Negotiations and Missile Range
Mohammad Mokhber, an adviser to Iranian Supreme Leader Mojtaba Khamenei, said that no negotiations will take place unless Washington accepts a seven-point proposal submitted by Iran, Hürriyet reported.
Mokhber said that while the path to dialogue has not completely closed, Khamenei’s directive regarding responses to the enemy carries no geographic limitations, effectively removing range restrictions on Iranian missiles.
Iranian Foreign Minister Abbas Araghchi stated on Tuesday that no formal meeting had been scheduled between Vice President JD Vance and Iranian officials, meaning Tehran has not yet granted direct political approval for talks, Habertürk reported.
Directives to Vice President Vance on Domestic Corruption
Alongside foreign policy pronouncements, Trump announced that he directed Vice President JD Vance to focus on corruption and crime in Democrat-led cities and states rather than pursuing an Iranian accord, Hürriyet reported.
Pointing to Minnesota, California, and Illinois as mismanaged jurisdictions, Trump asserted that billions of dollars are stolen monthly and that addressing these domestic issues would help balance the federal budget, Anadolu Ajansı reported.
| Market Indicator | Recorded Movement | Context |
|---|---|---|
| Brent Crude Futures | +1.4% (above $94/barrel) | Recovered losses following Trump’s social media post, Bloomberght reported |
| US Treasury Yields | -3 to -7 basis points | Short- and medium-term maturities led the decline, Bloomberght reported |
| Fed Rate Hike Pricing | +29 bps (December) | Pricing reflected tighter monetary expectations, Bloomberght reported |
Direct talks between Washington and Tehran remain unconfirmed, with Doha, Qatar, under discussion as a potential venue for future mediation following meetings held by Vice President Vance earlier in the week, Habertürk reported.
