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The information provided on EL7.AI is for educational and informational purposes only and does not constitute financial advice.
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Sign InFollowing weeks of geopolitical tensions that threatened global energy flows, President Trump stated that a peace agreement with Iran has been largely negotiated and will be announced shortly. According to reports, Secretary of State Marco Rubio cited significant progress in the last 48 hours toward resolving the shipping disruption in the Strait of Hormuz. The draft deal includes lifting the US naval blockade and reopening the strait without tolls in exchange for Iranian concessions on freezing its nuclear program.
This development comes at a critical juncture for energy markets, as major producers like Saudi Aramco (2222.SR) seek to secure supply chains amid fears of an "energy cliff." Analysts suggest that the potential release of $25 billion in frozen Iranian assets serves as a major catalyst for the settlement. Per market data, global energy giants including ExxonMobil (XOM) and BP (BP.L) are closely monitoring the situation, as a confirmed reopening would drastically lower the risk premiums that have spiked insurance and freight costs.
Investors are currently watching Saudi Aramco (2222.SR) shares, which stood at 27.45 SAR (at close May 21, 2026), for local market reaction to the news. Looking ahead, the economic calendar features the Reserve Bank of Australia meeting minutes and Canadian inflation data on May 19, 2026, which may provide further context on global energy demand stability as these diplomatic negotiations finalize.