Key development: Trump said he won’t lift the naval blockade on Iran until there’s a peace deal, and Iran just backed out of the talks that were supposed to happen tomorrow.
US Policy
(Update) Trump says the blockade on Iranian ports stays until Iran signs a deal. Iran responded by pulling out of the second round of talks that were supposed to start Monday in Islamabad. (Euronews)
Context: Just yesterday Trump said the US delegation would travel to Islamabad for more negotiations. Iran’s refusal to show up effectively kills this round of talks. The blockade—which has choked Iranian oil exports—continues indefinitely now.
Sources: Euronews
Economy
Gas and diesel prices are expected to climb again as the US-Iran talks collapse. No deal means the blockade continues and oil markets stay tight. (Euronews)
Context: Prices had been volatile as markets waited to see if negotiations would succeed. With talks now off and no clarity on when they might restart, analysts expect upward pressure at the pump.
Sources: Euronews
Regional Actors
(Update) Foreign airlines are starting to fly back into Qatar’s main airport. Qatar Airways is also adding back routes for summer as the region tries to get back to normal. (Euronews) [UNCONFIRMED]
Context: This marks a shift from earlier disruptions caused by regional tensions. Airlines had scaled back or suspended service to Doha’s Hamad International Airport, but operations are now ramping back up.
Sources: Euronews
What to watch: Whether the US and Iran will agree to reschedule talks or if the diplomatic freeze hardens into something longer-term.