The 14-point memorandum of understanding signed between Iran and the US in June appeared to offer the most significant diplomatic opening between the two countries since 1979.
Yet before confidence-building measures could take hold, renewed military confrontation overwhelmed diplomacy. US President Donald Trump’s Iran deal collapsed, leaving Washington with few good options.
Over the past two weeks, clashes between the US and Iran have disrupted maritime traffic in the Strait of Hormuz, through which more than 20 percent of global oil and gas shipments typically pass, contributing to renewed volatility in energy markets.
Oil prices surged on Friday, with Brent crude reaching more than $88 a barrel, posting gains of over 16 percent to hit its highest level in more than a month.
The fighting has also expanded now beyond direct US-Iran exchanges, highlighting the growing risk of a wider regional conflict.
