The White House says private diplomatic contacts with Iran are ongoing, but Scott Bessent states the Strait of Hormuz blockade will remain until freedom of navigation returns to pre-Feb. 27 conditions.
Fighting between the United States and Iran has mostly halted, according to the source, but the energy trade route remains largely blocked. The White House said private diplomatic contacts with Iran are continuing without providing details, while U.S. Treasury Secretary Scott Bessent said the United States fully controls the Strait of Hormuz and will keep the blockade in place until freedom of navigation is restored to conditions seen before Feb. 27. An Iranian source said Tehran may consider restarting talks if the United States lifts its port blockade and Iran fully reopens the Strait of Hormuz. The situation indicates that reduced direct fighting has not yet translated into a reopening of a critical oil shipping corridor, leaving supply, pricing, inflation, and broader market risk concerns elevated.