Oil ticks higher as Iran rebuffs direct talks with US envoys in Doha
Brent crude rises 50 cents to $73.45 a barrel as Iran sends only a technical delegation to Doha, with no face-to-face meeting planned, dimming prospects for a permanent ceasefire.
Indirect meetings in Doha
US envoys Jared Kushner and Steve Witkoff arrived in Doha on Tuesday and met with Qatari mediators, but no direct talks with Iran were scheduled. President Donald Trump had claimed Iran requested a meeting, but Tehran denied it. Qatar's foreign ministry spokesman Majed al-Ansari told reporters the discussions would cover "all regional issues" including the Iran ceasefire and Lebanon. Iran said it would send a technical delegation led by deputy foreign minister Kazem Gharibabadi to meet mediators on Wednesday.
They are not here for direct negotiations with the Iranians.
Stalemate over the Strait of Hormuz
Control of the strategic waterway, through which about 20% of global oil and gas passes, remains a central dispute. Iran insists on organising traffic and imposing tolls, while the US demands free passage. A US official said both sides would "stand down for now" after a cargo ship was hit on Thursday, but tensions persist. Oman has proposed a new route near its coast, but Iran objects, calling it a violation of the MoU.
Iran is better aware of its responsibilities than any other party and is capable of fulfilling them, and there is no need for the intervention of others.
- US and Iran sign MoU brokered by Pakistan and Qatar, pledging to halt hostilities and reopen Strait of Hormuz.
- Iran attacks a cargo ship after efforts to open Oman's territorial waters for traffic.
- US official says both sides 'stand down for now'; vessels can move freely in the strait.
- US envoys Kushner and Witkoff meet Qatari mediators in Doha; Qatar confirms no direct Iran talks.
- Iran's technical delegation to hold first meeting with mediators in Doha.
Frozen assets and sanctions
Iran wants at least $6 billion in frozen assets released. President Masoud Pezeshkian said steps were "under way", but Qatar said the transfer had not yet occurred and depends on progress in talks that have not started.
Oil market reaction
Brent crude rose 50 cents to $73.45 a barrel and WTI climbed 63 cents to $70.13. The second quarter saw Brent's largest quarterly loss since 2008, falling about $45, as the initial ceasefire eased supply fears. US crude inventories fell by 6.1 million barrels last week, the API reported.
Nuclear timeline slipping
The MoU set a 60-day deadline for nuclear talks, but only about 60 days remain with no direct contacts started. Diplomats are alarmed by the slow pace. Iran's spokesman warned European powers not to get involved in de-mining the strait.
