Here's the latest
• Talks stall: President Donald Trump has called Iran’s response to a US peace proposal “totally unacceptable.” Tehran’s counter-proposal included recognition of sovereignty over the Strait of Hormuz, Iranian state media reported.
• Netanyahu spotlights sticking points: Israeli Prime Minister Benjamin Netanyahu said the war on Iran is “not over” as he acknowledged that Tehran retains many capabilities it had at the start. He also said he wants to reduce US military support from $3.8 billion a year “to zero.”
• Energy crisis: Oil prices climbed 3% on Sunday after peace talks hit an impasse, renewing concerns about when energy shipments would be able to pass through the Strait of Hormuz.
Britain and France to host defense ministers meeting on Strait of Hormuz
Britain and France will host defense ministers from various nations on Tuesday to discuss military plans for restoring trade flow in the Strait of Hormuz, the British government said.
“The Defence Secretary John Healey MP will co-chair a meeting of over 40 nations, alongside his French counterpart, Minister Catherine Vautrin, for the multinational mission’s first Defence Minister’s meeting,” a British defense ministry statement said.
Iran’s Deputy Foreign Minister Kazem Gharibabadi on Sunday warned Britain and France against deploying their warships in the Strait of Hormuz.
Britain announced Saturday it was sending its HMS Dragon warship to the Middle East as part of a “strictly defensive” plan to support mine clearance and protect vessels.
Last week, France deployed its carrier strike group to the Red Sea as part of planning for a potential mission to secure the Strait of Hormuz, its armed forces ministry said in a statement.
Britain and France have led an effort to build a multinational mission to secure shipping in the waterway while encouraging other international partners to participate.
Healey said he has directed HMS Dragon to the Middle East “so Britain is in position to support this mission the moment it is needed.”
India's Modi urges citizens to conserve fuel and avoid having overseas weddings
India’s Prime Minister Narendra Modi has urged citizens to conserve fuel, avoid having weddings abroad and work from home, as the energy fallout from the war with Iran continues to be felt in the world’s most populous nation.
“In the current situation, we must place great emphasis on saving foreign exchange,” he added, urging Indians not to buy gold jewelry and avoid traveling and having weddings overseas.
More Indian couples have been choosing destination weddings in recent years, with Thailand’s resorts and luxury hotels among popular options.
India, a nation of over 1.4 billion, is among the countries most impacted by Iran’s chokehold on the Strait of Hormuz, given its reliance on oil and gas imports from the Middle East.
The government previously invoked emergency powers to divert fuel away from industrial users to keep households supplied.
War talks are once again at an impasse. Catch up here
President Donald Trump called Iran’s response to a US proposal to end the war “totally unacceptable.”
Tehran’s counter-proposal included recognition of sovereignty over the blockaded Strait of Hormuz and a demand for compensation, according to state media. The reports did not mention Iran’s nuclear program, which has been one of the key issues the US has tried to address.
More to know:
- Israel looking to “wean” off US support: In an interview with CBS, Israeli Prime Minister Benjamin Netanyahu said he wants to reduce US military support from $3.8 billion a year “to zero,” saying, “I think that it’s time that we weaned ourselves from the remaining military support.”
- Netanyahu says “more to be done”: Netanyahu told CBS there is “work to be done” in Iran and said that Trump agreed with him on the importance of removing Tehran’s stockpile of highly enriched uranium. Separately, sources said that Netanyahu spoke with Trump on Sunday evening as Iran submitted its response.
- Oil prices rise: Brent crude prices on Sunday rose 3.17% to $104.50 a barrel and US crude climbed 3.21%, to about $98.48 a barrel. Stalled peace talks are renewing concerns about when oil would be able to pass through the Strait of Hormuz, a critical waterway for about one-fifth of the world’s oil.
- Activist moved: After spending 10 days in a hospital in Zanjan, Iranian Nobel Peace Prize laureate Narges Mohammadi was granted bail and transferred to a hospital in Tehran on Sunday, according to a statement from her family-run foundation. Mohammadi, who has been a political prisoner for much of the last two decades, has faced serious health issues behind bars.
- China draws lessons: The war is providing a window for China into how US military capabilities work under fire. CNN spoke with experts about how the fighting can inform what might happen in any possible conflict that would pit Beijing against Washington.
CNN’s Laura Sharman, Aileen Graef, Aleena Fayaz, Tal Shalev, Jomana Karadsheh, Max Saltman, Brad Lendon, Sylvie Zhuang and Wayne Chang contributed reporting.
Netanyahu thinks Israel should wean itself off US support. Here's what else he told "60 Minutes"
Israeli Prime Minister Benjamin Netanyahu spoke on a range of regional issues Sunday in an interview with CBS’ “60 Minutes.”
Here are the highlights:
- US support: Netanyahu said he wants to reduce US military support from $3.8 billion a year to zero. “I think that it’s time that we weaned ourselves from the remaining military support… over the next decade.”
- On the role of social media: Netanyahu said he has seen support for Israel fall in the US, which he said “correlates almost 100% with the geometric rise of social media.” He told CBS: “We have several countries that basically manipulated social media. And they do it in a clever way. And that’s something that has hurt us badly.”
- On the war’s timeline: Netanyahu said there is “work to be done” in Iran and said that US President Donald Trump agreed with him on the importance of removing Tehran’s stockpile of highly enriched uranium. He said Iran has not given up its enriched uranium or dismantled its nuclear sites, nor has it stopped supporting its regional proxies or agreed to any limits to its ballistic missile program.
- On Iran’s nuclear program: When pressed on how to handle the highly enriched uranium that remains a key goal of negotiations, Netanyahu said it can be removed from Iran physically. “I’m not going to talk about military means, but what President Trump has said to me – ‘I want to go in there’ – and I think it can be done physically,” he said. “That’s not the problem. If you have an agreement, and you go in and you take it out. Why not? That’s the best way.”
- On China’s role in war: “China gave certain amount of support and particular components of missile manufacturing. But I can’t say more than that,” he said. CNN has previously reported US intelligence indicates that China is preparing to deliver new air defense systems to Iran. China has denied reports it is helping Iran’s military rearm.
- On Lebanon: Netanyahu said the ceasefire with Iran should be kept separate from the Israel-Hezbollah truce in southern Lebanon, though Iran would disagree. The ceasefire in Lebanon has been a key sticking point in US peace talks with Iran.
Here's what Iran counterproposed, which Trump called "totally unacceptable"
US President Donald Trump on Sunday called the most recent peace proposal from Iran “totally unacceptable” as the two countries struggle to make a deal to end the monthslong war.
Tehran’s counter-proposal included recognition of sovereignty over the blockaded Strait of Hormuz and a demand for compensation for war damages, Iranian state media reported. The proposal demands the release of frozen Iranian assets as well as the lifting of sanctions.
Iran is also seeking an end to fighting on all fronts, including in Lebanon, reported Reuters, citing Iranian state TV.
Iranian state media reports on the counter-proposal so far did not mention the country’s nuclear program.
Trump has drawn a hard line on the Iranian nuclear program, which Tehran has resisted.
The US laid out a “very clear red line” in its latest proposal, US ambassador to the United Nations Mike Waltz said earlier on Sunday. “President Trump has been clear they will never have a nuclear weapon and they cannot hold the world’s economies hostage,” Waltz told “Fox News Sunday.”
Will oil prices drop when Strait of Hormuz opens? Here's what to know
Securing safe passage for ships through the Strait of Hormuz, which accounts for about 20% of the world’s oil flow, has been a key aspect of negotiations on a peace deal with Iran.
Oil prices have surged since the war began, in large part due to ships being unable to pass through the strait. Brent crude prices on Sunday rose 3.17% to $104.50 a barrel and US crude climbed 3.21%, to about $98.48 a barrel. Goldman Sachs said last month that it expects Brent crude to remain above $90 a barrel through at least the end of the year.
The oil disruption has increased the US average for gas prices in the US to $4.52 a gallon, according to AAA.
Trump administration officials have repeatedly positioned the Iran war as short-term pain for long-term gain, as consumer sentiment reaches record lows.
On Sunday, US National Economic Council Director Kevin Hassett told Fox News that consumers and businesses will face higher costs “in the short run” as the war in Iran drives up the price of oil and gas, but once the strait is fully opened, a “gusher” of oil will be released into the market and bring prices down.
Keep in mind: Lower oil prices will also depend on restarting oil production in the Middle East, after companies shut down some wells during the war. That process could take several weeks. And strikes targeting energy and oil facilities in the Middle East could take years to repair, oil companies have warned.
Last month, analysts said energy markets could take as long as a year to recover from the disruption to normal supply and demand balances. Economists have warned that if the disruption extends into the second half of the year, it could trigger a global recession.
Continued fighting fuels fears Israel-Lebanon ceasefire is collapsing
Deadly Israeli strikes and continued Hezbollah attacks are fueling fears that the US-backed ceasefire between Israel and Lebanon may be unraveling. CNN’s Oren Liebermann reports.
Deadly Israeli strikes and continued Hezbollah attacks are fueling fears that the US-backed ceasefire between Israel and Lebanon may be unraveling. CNN's Oren Liebermann reports.
