Trump Announces 10-Day Pause on Iranian Energy Strikes Amid Diplomatic Talks

U.S. President Donald Trump announced a 10-day pause on attacks against Iranian energy plants, effective until Monday, April 6, 2026, at 8 P.M. Eastern Time, saying talks with Tehran were going "very well." Oil prices fell in early Asian trade on Friday following the announcement, with Brent futures dropping 90 cents, or 0.8%, to $107.11 per barrel and U.S. West Texas Intermediate futures losing 83 cents, or 0.88%, to $93.65 per barrel. Trump posted the announcement on Truth Social, stating the pause was made "as per Iranian Government request." The move came after a volatile week in which Brent had surged 5.7% and WTI gained 4.6% on Thursday alone, driven by fears of further escalation. Despite Friday's decline, the broader weekly trend showed Brent heading for its first weekly fall in six weeks, while WTI posted a second consecutive weekly loss, as Trump continued to signal openness to a diplomatic resolution.

Mediators contradict Trump's account of Iran's request A significant dispute emerged over the circumstances of the pause, with mediators telling Reuters that Iran had not in fact requested the 10-day halt on strikes against its energy infrastructure. An Iranian official separately told Reuters that a 15 (points) — U.S. proposal conveyed to Tehran via Pakistan had been reviewed in detail on Wednesday by senior Iranian officials and a representative of Iran's supreme leader. The official described the plan as "one-sided and unfair," signaling that Tehran had not yet delivered a final response. Trump, meanwhile, said Iran had allowed 10 Pakistan-flagged oil tankers to transit the Strait of Hormuz as a goodwill gesture during negotiations. The Wall Street Journal reported that mediators also said Tehran had yet to deliver a final response to the 15-point plan, suggesting the two sides remained far apart despite Trump's optimistic framing. Web search results from Friday morning indicated the two countries appeared to be at an impasse, with both sides hardening their positions over ceasefire talks.

War has stripped 11 million barrels daily from global supply The conflict, which began on February 28, 2026, when the United States and Israel launched strikes on Iran, has had a severe impact on global energy markets. 11 (million barrels per day) — oil supply removed from global markets by the war The war has nearly halted shipments through the Strait of Hormuz, which typically carries about a fifth of the world's crude oil and LNG supply. Fatih Birol, executive director of the International Energy Agency, described the current crisis as worse than the two major oil shocks of the 1970s combined with the impact of the Russia-Ukraine war on gas supplies. The U.S. has sent thousands of troops to the Middle East, and Trump was reported to be weighing whether to use ground forces to seize Kharg Island, Iran's strategic oil export hub. Shemara Wikramanayake, chief executive of Macquarie, told the Asia Pacific Financial and Innovation Symposium in Melbourne on Thursday that markets were not yet pricing in a prolonged disruption. „For today, the markets are not assuming a huge impact, particularly in oil. If you look at the forward curve, they're assuming this will end quite fast and things will stabilise quite quickly” — Shemara Wikramanayake via Reuters

Gold climbs as traders weigh diplomatic signals Spot gold rose 0.4% to $4,400.23 per ounce in early trade on Friday, as some investors interpreted Trump's pause announcement as a sign of easing tensions in the Middle East. Li Xing, a financial markets strategist at Exness, said in an emailed note that if diplomatic progress materialized, gold could stabilize and recover progressively. „Gold's trajectory will hinge on the geopolitical developments in the Middle East” — Li Xing via The Wall Street Journal The precious metal's gains reflected cautious optimism among traders, though analysts noted that the contradictions between Trump's account and mediators' statements introduced continued uncertainty. The oil market's reaction was similarly ambivalent, with Wall Street Journal data showing front-month Brent futures falling as much as 2.0% to $105.85 per barrel in some early readings, a steeper drop than the Reuters figure, reflecting the range of market responses to conflicting signals. The broader picture remained one of a market caught between hopes for a diplomatic breakthrough and the reality of an ongoing conflict that has fundamentally disrupted global energy flows.

Brent Thursday surge: +5.7, WTI Thursday surge: +4.6, Brent Friday drop: -0.8, WTI Friday drop: -0.88

The war on Iran began on February 28, 2026, when the United States and Israel launched strikes under what has been referred to as Operation Epic Fury. The Strait of Hormuz has long been considered one of the world's most critical energy chokepoints, with roughly a fifth of global crude oil and LNG supply passing through it. The IEA was established in 1974, in part as a response to the first major oil shock of that decade, and has since served as the primary intergovernmental body coordinating energy policy among major consuming nations. Pakistan has emerged as a key intermediary in conveying diplomatic proposals between Washington and Tehran during the current conflict.