The Official White Home Fast Response account on X has not directly denied the Iran’s state TV MoU draft reported earlier within the session. The preliminary market beneficial properties have been erased anyway as Iran’s state TV additionally added that no settlement has been reached but, so all in all we’re nonetheless ready for one thing concrete.
There’s been a lot of noise lately about this Memorandum of Understanding and further warning is required. The sign is that no person needs to restart the battle, in order that’s constructive but it surely’s additionally largely priced in. An important factor is the reopening of the Strait of Hormuz.
If this example drags on for longer, we danger going into the June FOMC assembly with oil costs nonetheless elevated and uncertainty nonetheless excessive. The Fed would possibly sound extra hawkish than anticipated in that case and the market’s response might be very unfavourable.
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The White Home has now formally denied the report. They are saying “this report from Iranian managed media isn’t true and the MOU they “launched” is an entire fabrication. No one ought to consider what Iranian state media is placing out. FACTS MATTER”.
