President Donald Trump indicated he would "probably" be open to meeting Iranian President Masoud Pezeshkian on the sidelines of the UN General Assembly in New York. This comes as traders are focusing on diplomatic efforts to de-escalate the ongoing US-Iran conflict, which has seen oil prices drop for a fourth consecutive day, with Brent experiencing its longest losing streak since June.
Iranian President Masoud Pezeshkian is leading a delegation to the UN General Assembly, scheduled for September 22-26 and 28, to present Iran's stance on international developments, particularly its conflict with the U.S. and Israel. He is also expected to hold bilateral talks with various country leaders. While the Iranian delegation's presence has sparked hopes for a diplomatic resolution, President Trump has also threatened severe economic repercussions or even leadership elimination if a deal is not reached.
Despite the potential for renewed diplomacy, analysts at Eurasia Group predict that oil prices will remain high, forecasting Brent to trade between $90 and $110 per barrel for the rest of the year. They note that Iran's leadership is likely to maintain a stance of resistance, utilizing military proxies and tanker attacks to disrupt shipping flows, especially through the Strait of Hormuz, to pressure Washington into concessions. Iran has conditioned the reopening of the Strait of Hormuz on the lifting of U.S. sanctions and other demands.
The UN General Assembly is expected to draw approximately 130 heads of state and government. Key speakers include U.S. President Donald Trump and French President Emmanuel Macron on Tuesday, followed by Ukraine's President Volodymyr Zelenskyy and Iran's President Masoud Pezeshkian on Wednesday. Israeli Prime Minister Benjamin Netanyahu is scheduled to speak on Thursday. Notably absent will be Chinese President Xi Jinping and Russian President Vladimir Putin. The U.S. recently paid $725 million of its dues to the UN's operating budget, helping to stabilize the organization's finances.
