Asia-Pacific markets were set to open higher Tuesday, amid hopes that a deal between Washington and Tehran was still possible even as the U.S. blockades Iranian ports in the Strait of Hormuz.
A fragile U.S.-Iran ceasefire, while not officially scrapped, has been deeply frayed, with the U.S. and Iran accusing each other of violating the conditions of the truce.
The U.S. on Monday said it began blocking ships from entering or exiting Iranian ports in the Strait of Hormuz, as it seeks to raise pressure on Iran to reopen the key oil route, following the collapse of peace talks. The blockade took effect at 10 a.m. ET.
Iranian officials responded by warning that the U.S. blockade will only drive global energy prices higher.
“Enjoy the current pump figures. With the so-called ‘blockade’, Soon you’ll be nostalgic for $4–$5 gas,” Iran’s parliamentary speaker, Mohammad Bagher Ghalibaf, said in an X post Sunday.
