President Donald Trump said Tuesday that no talks were happening with Iran with insisting the Strait of Hormuz remained open and safe. This contradicts Iran's claim that the vital waterway is still shut to ships.
The six-month conflict shows no sign of ending. A ceasefire expired Monday, and Iran says it is shifting to a "fully offensive" military stance. Oil prices rose again, stock markets fell, and borrowing costs jumped worldwide over fears of long-term economic damage.
Trump's son-in-law, Jared Kushner, had claimed talks were actually progressing well just a day earlier — a sharp contrast to Trump's statement.
Despite Trump's reassurance, incidents continued. The UAE reported two missiles fired from Iran landing in the sea, and suspended all trade with Tehran. A ship was also hit by an unknown projectile near the strait injuring a crew member.
Iran's top negotiator said the strait will stay closed until the U.S. lifts its naval blockade and ends oil sanctions and unfreezes Iranian assets conditions from a June agreement that has since collapsed.
An Iranian official said the country remains open to dialogue but will not accept terms resembling surrender. Thousands have died in the war so far with Iran striking U.S. bases in several allied nations.
Brent crude oil which peaked near $126 a barrel during the conflict also settled around $91 on Tuesday. A U.S. official warned that more economic pressure on Iran could still follow.
