The G7 summit continues. Not all leaders share Trump’s optimism
European officials do not share Donald Trump’s vision of opening the Strait of Hormuz by next Friday, doubting a lasting agreement between Washington and Tehran, Bloomberg reports.
The agency notes that they disagree with the U.S. president’s claim of a quick resumption of trade in the Middle East.
They also closely monitor the possibilities of engaging in aid to the Middle East, only when incoming information about peace is confirmed by the conflict parties and mediators.
Trump confirmed reaching an agreement with Iran by signing a memorandum of understanding (MoU), which, according to announcements, is set to take place on June 19 in Switzerland.
“According to one G7 official who spoke on condition of anonymity to discuss internal group dynamics, there are serious difficulties in reaching a common position on how to handle the situation in Iran,” Bloomberg reports.
“Few expect a joint statement, which proved impossible to achieve in Trump’s presidency,” added the source.
The ongoing G7 summit addresses global problems, including easing tensions in financial markets that caused a surge in energy prices and heightened inflation concerns in many world economies.
“Even Italy’s Prime Minister Giorgia Meloni, who has so far skillfully avoided provoking Trump, stated that her country’s participation is conditional on stopping hostilities in Lebanon, where Israeli forces conducted airstrikes in recent days,” we read.
Bloomberg claims Meloni is not alone in her doubts, and the accelerated conflict resolution process is also questioned within Trump’s administration.
Experts predict that restoring traffic in the Strait of Hormuz could take two weeks, while returning to pre-attack levels by the U.S. and Israel on Iran would take even longer.
“There are still mines in the strait that need to be cleared, and shipping companies have varying risk approaches to sailing through the Strait of Hormuz,” the official added.
Emmanuel Macron, whose country chairs this year’s G7 leaders’ meeting, expressed a willingness to help restore the flow of goods through the key route.
“It’s a very important issue for world peace,” he said.
“It will bring peace to Lebanon. We are therefore ready to take on a fair share of this burden and engage in international community actions,” he added.
More on this was written in the article: The dollar is falling! Is the end of the war in the Middle East? Here’s how a turbulent week will affect USD/PLN, EUR/PLN and EUR/USD
Also read: The Middle East impasse hits fuel prices. A drop to $40 per barrel soon?
See also: Fuel prices plunged after Trump’s words. Attacks on Iran were halted. “I instructed the Department of War.”
Brent and WTI oil prices on Tuesday, June 16
The futures price for Brent oil on Tuesday, June 16 is at 81,3 USD per barrel (-2.24%).
Chart. Futures price for Brent oil
Source: Trading Economics.
The futures price for WTI oil reaches 78,5 USD per barrel (-2.79%).
Chart. Futures price for WTI (West Texas Intermediate)
Source: Trading Economics.
Also read: Gold price fell 12%, further discount soon? Expert: “With possible de-escalation, there’s a chance to make up for losses.”
See also: Fuel prices in Poland will rise, shortages at stations? Expert: “It won’t be a one-time sharp move that affects drivers.”
Source: Bloomberg.
