In a matter of hours, U.S. President Donald Trump executed a dramatic reversal.
During the U.S. stock market's afternoon session on Thursday, Eastern Time, Trump posted on social media that, given negotiations with Iran had been submitted to and approved by Iran's supreme leadership, as President he had canceled the planned strikes and bombings against Iran scheduled for that evening, Eastern Time.
The timing of this social media post was 1:28 PM Eastern Time, roughly five hours after Trump had announced on social media that a "very heavy" attack on Iran would occur "tonight," Eastern Time.
However, an Israeli media outlet later reported that Iran denied the existence of any agreement. Israeli sources stated no such agreement existed. Another Israeli media outlet, citing an Israeli official, expressed surprise at Trump's statement, indicating a need to wait for Iran to publish relevant details to verify its accuracy. Iranian media FARS, citing informed sources, reported that Iran had not approved any text of an agreement with the United States.
Following Trump's announcement of the canceled strike plan, financial markets reacted swiftly. The three major U.S. stock indices surged during the session, each gaining over 1%. International crude oil futures plunged, resuming their intraday declines and hitting new daily lows. Brent crude fell below $89.50, down 3.9% for the day, while WTI crude dropped below $86.60, also down nearly 3.9%.
Trump: U.S. Maritime Blockade of Iran to Continue Until Deal Finalized
In the post made during Thursday's afternoon trading session, Trump also stated that the final terms of the U.S.-Iran negotiations had been approved by all relevant parties, including the U.S., Israel, and Arab allies, and that the U.S. would continue its maritime blockade of Iran until the agreement is finalized.
Trump's post read:
"The relevant negotiations and final terms—both in overall concept and specific details—have been approved by all relevant parties, including the United States, Israel, Saudi Arabia, the United Arab Emirates, Qatar, Turkey, Pakistan, Bahrain, Kuwait, Jordan, Egypt, among others.
Until this agreement is finalized, maritime blockade measures will remain fully and effectively enforced—the time and place for signing will be announced at a later date."
Iran's Strong Response to Trump's Earlier Threats of Heavy Strikes and Island Seizure
The optimistic signals from the above post suddenly improved the prospects for U.S.-Iran talks. Trump's pre-market statements on Thursday had raised the danger of further escalation in the Middle East conflict.
In a post made at 8:22 AM Eastern Time on Thursday, Trump wrote that "tonight," the U.S. would strike Iran "very heavily." In the same post, Trump stated that in the near future, the U.S. would occupy Kharg Island and other oil infrastructure, gaining complete control over Iran's oil and gas market.
Shortly after the post, in an interview with U.S. media, Trump reiterated that U.S. forces would strike Iran "very heavily" on Thursday evening, Eastern Time. He said, "There will be bombings tonight, bigger and more powerful." He added that the U.S. and Iran were still negotiating and could reach the "greatest deal in history," and that Iran "might raise the white flag and surrender."
It was mentioned that Trump stated, although negotiations were ongoing, he had "always been inclined to take Kharg Island," the important oil export hub. That is what he wanted, but he was "not sure if the U.S. has the appetite to do it."
Following the release of Trump's statements, Iran issued a strong response.
A statement from Iran's Khatam al-Anbiya Central Headquarters of the Armed Forces warned on the evening of June 11, local time: "If the United States attempts to attack Iran again, it will face a harsher response than before. And the flames of war will spread, plunging the entire region into insecurity."
The statement pointed out, "The contradictory behavior of the United States is the main source of instability in the region, particularly in the Strait of Hormuz. Given the U.S. threats against Iran's oil infrastructure, Iran will either allow oil and gas exports to benefit all parties, or all oil and gas will be prevented from passing through the Strait of Hormuz."
After Trump's remarks about seizing the island, Iran's Ministry of Defense issued a statement on the evening of June 11, local time, stating that Iran's defense industry personnel would continue to fully support the armed forces to enhance deterrence. The readiness, operational capability, and defensive power of Iran's armed forces are now stronger than ever. Any miscalculation or attack against Iran's national security and territorial integrity will be met with a decisive counterstrike, the consequences of which will far exceed the enemy's imagination.
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