Strait ​of Hormuz to reopen, U.S-Iran war to end? Oil prices rise, Stocks tumble, check latest updates

Iran ​through Pakistani ​mediators gave the U.S. a ‌new proposal ⁠on ⁠reopening ​of the Strait ​of Hormuz and the ​ending ⁠of the ‌war, ​with ​nuclear ⁠negotiations postponed for a later ​stage, Axios ​reported on Sunday, citing ‌a U.S. official and two ​sources ​with ⁠knowledge of the matter. President Donald Trump said on Sunday Iran could telephone if it wants to negotiate an end to their two-month war and stressed it can ​never have a nuclear weapon, after Tehran said the U.S. should remove ​obstacles to a deal, including its blockade of Iran's ports.

Oil prices rose, the dollar inched higher and U.S. stock futures wobbled lower in early Asia trade on Monday after U.S.-Iran peace talks stalled over the weekend, leaving Gulf shipping blocked.

Hopes of reviving peace efforts in the U.S.-Israeli war with Iran receded on ​Sunday as Iran's foreign minister returned to Pakistan ​despite the absence of U.S. counterparts after President Donald Trump told envoys not to resume ​talks. While Abbas Araqchi continued to shuttle between mediating countries over the weekend, Trump scrapped a visit to Islamabad by his envoys Steve Witkoff and Jared Kushner.


U.S. forces removed security equipment from the city, Pakistani government sources said, signalling that any U.S. delegation was unlikely to return for negotiations soon.

Although a ceasefire ‌has paused full‑scale fighting ⁠in ⁠the conflict, which began with U.S.-Israeli strikes on Iran on February 28, no agreement has been reached on terms to end a war that has killed thousands, driven ​up oil prices, fuelled inflation and darkened the outlook for global growth.

Tehran has largely closed the Strait of Hormuz, which normally carries a ​fifth of global oil shipments, while Washington has imposed a blockade of Iran's ports.

After holding talks in Pakistan, Araqchi flew to Oman - another mediator in the war - where he met the country's leader, Haitham bin Tariq al-Said, on Sunday.

They discussed security in the strait ​and Araqchi called for a regional security framework free of outside interference, according to ⁠Iran's foreign ‌ministry.

Araqchi later returned to Islamabad, Iranian state media reported. Pakistani government sources said he would hold talks ​with the country's leadership ​before heading to Moscow.

The war has destabilised the Middle East - Iran has struck its Gulf neighbours and conflict between Israel and Iran-backed Hezbollah in Lebanon has been reignited.

Israel's military issued new evacuation orders for southern Lebanon on Sunday, ordering residents to leave seven towns beyond the "buffer zone" it occupied before a ceasefire that has failed to bring a full halt to hostilities.