Iran suspends attacks; Trump gives "margin" for peace talks

Iran and the United States have halted their attacks, offering a reprieve to maritime traffic and the oil industry in the Persian Gulf. This de-escalation comes as President Donald Trump is reportedly allowing diplomatic efforts with Tehran more space to succeed, according to the U.S. representative to the UN.

Iran announced a pause in its retaliatory bombings against U.S. allies in the Middle East after a second night without airstrikes. U.S. Ambassador to the UN Mike Waltz stated that Trump is "giving some space to the conversations, giving them a little bit of room," while also warning that the U.S. remains "ready" to strike Iran and has deployed additional resources to the region. The prospect of a truce between the U.S. and Iran led to a more than 5% drop in oil prices when Asian markets opened on Monday.

Despite a ceasefire agreement in April and a protocol for lasting peace in June, both nations had resumed hostilities in recent weeks. Tensions had flared around the strategic Strait of Hormuz, a vital chokepoint for hydrocarbon trade. Although Trump had not ruled out larger-scale attacks on Iran as of Friday, a relative calm has settled over the region following nearly two weeks of clashes. An Iranian military spokesperson confirmed the pause in operations, stating that their strategy is based on response and they have interrupted their operations. However, he warned that if the U.S. "insists on continuing the war, particularly through air attacks," the conflict would "extend even further."