There are more headlines crossing suggesting positive developments in Iran-US talks, with Al-Arabiya now carrying similar headlines to the earlier ones that weighed on oil.
In contrast, here is Iran security chief Mohsen Rezaei just now:
America’s response to Iran’s rights and demands was not convincing, and they must fully and explicitly address Iran’s seven conditions and act upon them; only in this case will the Strait of Hormuz be reopened.
Those are the same seven conditions they have been talking about forever and were mostly in the 14-point MOU agreed in June.
The problem is analyzing deal prospects is the calendar. It’s in the Trump admin’s interest to leak positive Iran headlines this week in order to drive down the price of oil. Perhaps that’s too little, too late but it’s a reason for skeptcism. You also have lines around negotiating that are very far apart, though obviously there are real efforts at mediation.
Oil has been rebounding on that same skepticism and the latest comments from Rezaei and is now close to flat.
This article was written by Adam Button at investinglive.com.