SMM News: the geopolitical situation in the Middle East continues to be tense, the United States once again issued a warning to Iran, saying it should be careful to threaten the devastating consequences of the United States.
On Sunday, May 19, Trump tweeted, "if Iran wants to fight [with the United States], then Iran will have a formal end to (official end)." Never threaten America again! "
Brent crude is currently trading at $73. 33 a barrel and WTI at $63. 86 a barrel, both below the prices before the United States withdrew from the Iran nuclear deal.
Earlier, the United States had said intelligence showed that Iran and its agents in the Middle East posed a growing threat to U. S. military / commercial shipping.
But it is worth noting that on Thursday, May 16, Trump was asked "whether the United States and Iraq will enter the war" during a meeting with the media at a foreign affairs event, when he replied, "I hope not." (I hope not).
The New York Times later disclosed that a number of senior Trump administration officials confirmed that at a briefing meeting in the White House war room last Wednesday, Trump made it clear to acting US Defense Secretary (Patrick Shanahan) that he did not want to go to war with Iran. And he believes Iran "will soon want to talk".
In an interview on May 11, US Secretary of State Pompeo also said that although Iran posed a "positive threat" to US interests, the White House "of course" welcomed the opportunity to negotiate with Tehran. The analysis pointed out that this may indicate that the US White House does not want relations with Iran to escalate into an open military conflict.
According to Bloomberg, although US intelligence agencies are worried that Iran is preparing to attack US troops or commercial ships, Iran is also hinting at efforts to bring the United States back to the Iranian nuclear restriction agreement reached in 2015. Iran's vice president said on Thursday that rejoining the deal would be the "only prerequisite" for the country's leaders to consider negotiating with Trump.
On May 8 last year, the United States unilaterally withdrew from the 2015 Iran nuclear agreement and resumed sanctions against Iran in November last year, banning Iran from exporting oil to international markets. At the same time, the United States has granted 180 days of temporary immunity from Iranian oil imports to China, Taiwan, India, Japan, South Korea, Turkey, Italy and Greece, giving them more time to find alternative sources of oil.
A year later, in April, amid repeated threats from Iran to block the Strait of Hormuz, the White House decided not to renew Iran's crude oil exemption, which expired in May, in order to reduce Iran's crude oil exports to zero. On arrival in May, the United States further deployed aircraft carrier battle groups to the Middle East to put pressure on Iran.
According to the Los Angeles Times, U. S. sanctions have plunged Iran's economy into a deep recession, with an inflation rate of nearly 40%. The latest oil sanctions will cost Iran at least $10 billion in revenue, forcing its economy to shrink by 6 per cent this year.
In terms of crude oil, Iran has also cut production sharply as a result of US sanctions. Iran's crude oil production fell 6 per cent to 2.554 million barrels a day in April, according to the latest OPEC data.