LIVEIndirect negotiations continue while shipping through the Strait of Hormuz slowly recoversLast updated: July 02, 2026 | 06:54Donald TrumpIranUS-Israel-Iran warGlobal oil prices extended their decline on Thursday morning as easing geopolitical tensions continued to ease concerns.AFPUS and Iranian officials have concluded another round of indirect talks in Doha, with both sides agreeing to establish a communication channel to monitor compliance with their memorandum of understanding aimed at ending the Middle East war. US President Donald Trump said negotiations were "making progress", while Tehran described the discussions as focused on implementation rather than new negotiations. Meanwhile, oil prices extended their decline and commercial shipping through the Strait of Hormuz continued a gradual recovery as regional tensions eased. Follow our live updates: Highlights05:31 AM, 2 July 2026US, Iran agree to establish communication channel
US President Donald Trump said that indirect talks with Iran in Qatar were "making progress", offering a tentative sign that diplomacy was holding after recent exchanges of fire threatened efforts to end the Middle East war.Iran's Deputy Foreign Minister Kazem Gharibabadi, who led Tehran's delegation, later said the talks had concluded and that the sides had agreed to establish a communication channel by Thursday to report and record violations of their initial memorandum of understanding.Iran had insisted there would be no direct negotiations in Doha on the deal, which aims to end the war that began with US-Israeli strikes on Iran in late February."As far as things are going, the denuclearisation of Iran is moving along well," Trump told reporters before boarding Air Force One.Get updated faster and for FREE: Download the Gulf News app now - simply click here.05:01 AM, 2 July 2026Trump, Vance says indirect talks with Iran 'making progress'US President Donald Trump said late on Wednesday that indirect talks with Iran in Qatar were making progress, a tentative sign that diplomacy was holding after recent exchanges of fire threatened efforts to end the Middle East war.Iran's Deputy Foreign Minister Kazem Gharibabadi, who led Tehran's delegation, later said the talks had concluded and that the sides had agreed to establish a communication channel by Thursday to report and record violations of their initial memorandum of understanding.Iran had insisted there would be no direct negotiations in Doha on the deal, which aims to end the war that began with US-Israeli strikes on Iran in late February."As far as things are going, the denuclearisation of Iran is moving along well," Trump told reporters before boarding Air Force One. "We hit them very hard... but we're getting along very well."The Qatar discussions, held at a lower level and focused on implementing the memorandum, were meant to "build on the progress made at the Lake Lucerne Summit," a diplomat told AFP on condition of anonymity.Tehran denied Trump's earlier claim that the talks would be direct, with foreign ministry spokesman Esmaeil Baqaei saying Iran had "no plans for negotiations with the American side at any level over the coming days."Gharibabadi said the discussions also covered frozen Iranian assets, whose release Tehran has demanded as part of any settlement.He said officials reviewed the use of part of an initial $6 billion and agreed that goods needed by Iran would be purchased and made available.US envoys Jared Kushner and Steve Witkoff were not taking part in the technical talks, the diplomat said, after meeting Qatar's Prime Minister Sheikh Mohammed bin Abdulrahman Al Thani on Tuesday.Get updated faster and for FREE: Download the Gulf News app now - simply click here.03:52 AM, 2 July 2026US crude oil production hits record 21.84 million barrels per dayTotal US production of crude oil and petroleum products increased by 254,000 barrels per day in April to a record 21.84 million barrels per day, according to government data. Crude oil production alone rose by 216,000 barrels per day to 13.93 million barrels per day. Year-over-year, total production surged by 1.01 million barrels per day or 4.9%. Since the 2008 financial crisis, total US petroleum output has quadrupled. Over the same period, crude oil production has soared +250%.03:40 AM, 2 July 2026Crude oil extends post-war slump as Hormuz fears fade, prices sink below peak levels
