President Donald Trump rejected Iran's conditional proposal for reopening the Strait of Hormuz and told aides he expects to resume bombing the country after November's midterm elections, The Wall Street Journal reported Saturday, citing unnamed U.S. officials. Trump later confirmed the rejection directly. "They made a proposal but I rejected it," he told reporters.
The decision keeps pressure on Tehran while maintaining military options as the administration navigates both geopolitical threats and domestic political realities. Iranian Foreign Minister Abbas Araghchi proposed on Friday reopening the strategically vital strait and resuming nuclear talks with the U.S. within seven days if the Trump administration accepts Iran's conditions. "If certain conditions are met, the Strait of Hormuz will be open at the end of seven days, and talks will be restarted," Araghchi told reporters on the sidelines of the United Nations General Assembly in New York.
Tehran's Demands
Tehran's conditions include a halt to what it calls U.S. "acts of aggression," an end to the naval blockade and economic warfare, and the release of Iranian assets, Iranian foreign ministry spokesman Esmaeil Baghaei said this week. These demands essentially ask Washington to surrender its leverage before negotiations even begin. Trump said earlier this month that he expects the war, which began on Feb. 28 with U.S. and Israeli airstrikes on Iran, to end shortly after the midterms and for oil prices to fall afterward.
Privately, Trump is skeptical Iran would meet his demands and has told his staff that he sees a renewed bombing campaign as likely, the WSJ quoted officials as saying. CNBC said it could not immediately confirm the report. The Journal quoted a U.S. official as saying Washington and Tehran were still negotiating through mediators, including over U.S. demands intended to prevent Iran from developing a nuclear weapon.
Regional Security Threats Continue
Yemen's Saudi-led coalition forces said they intercepted projectiles fired by Iran-backed Houthi rebels. The Saudi-backed Coalition to Support Legitimacy in Yemen "intercepted and destroyed" two drones launched by Houthi militia towards the Saudi capital Riyadh, and two ballistic missiles aimed at the Khamis Mushait region near the city of Abha in the country's southwest, Colonel Turki Al-Maliki, the coalition's official spokesman, said in a series of posts on X.
The Houthis said last Saturday that they had attacked "sensitive" sites in Riyadh shortly after flames and smoke were seen near the city's main airport. Saudi Arabia said earlier this month that its air defenses destroyed a Houthi drone headed for the holy city of Mecca, a claim the group denied. The continued attacks demonstrate Iran's willingness to use proxy forces even while pursuing diplomatic channels.
Energy Markets React
The war has severely restricted energy shipments out of the Middle East, sending oil prices soaring and raising concerns about accelerating inflation globally. But crude prices posted a sharp drop for the week as Tehran and Washington held discussions on the sidelines of the U.N. General Assembly. West Texas Intermediate dropped 2.3% to close at $92.41 per barrel. Brent, the international benchmark, declined 2.1% to settle at $104.32.
U.S. crude finished the week 7.9% lower while Brent was flat. WTI is up nearly 61% year to date, while Brent crude is more than 71% higher over the same period. These elevated prices continue to squeeze American consumers and businesses, with ripple effects throughout the economy.
Why This Matters:
Trump's rejection of Iran's proposal keeps maximum pressure on a regime that has spent decades defying international norms and threatening regional stability. The administration's willingness to maintain military options while pursuing diplomatic channels through mediators demonstrates strategic patience rather than capitulation to Tehran's preconditions. The ongoing conflict's impact on global energy markets—with oil prices up more than 60% this year—affects every American's wallet through higher gas prices and increased inflation. Iran's use of Houthi proxies to target Saudi Arabia, including a drone aimed at Mecca, shows the regime's continued aggression even while proposing ceasefires. The timing around midterm elections reflects both domestic political considerations and the calculation that a weakened Iran post-elections might accept terms that protect American interests and prevent nuclear weapons development. Energy markets' positive response to even limited diplomatic discussions suggests that a credible resolution could provide significant economic relief.