Trump Cancels Iran Strikes, Announces New Negotiations Starting Monday

What Happens Next

• →Gulf-state sovereign wealth funds and energy-dependent budgets face near-term revenue compression as oil prices decline, pressuring fiscal planning in Saudi Arabia, UAE, and Iraq.
• →U.S. defense-sector equities — particularly missile and naval systems manufacturers like Raytheon and Lockheed Martin — see 3-7% pullbacks as anticipated procurement for a Gulf strike campaign is deferred.
• →Iran-Oman negotiations on an alternative shipping corridor accelerate, drawing infrastructure investment from China and India seeking to diversify energy transit routes away from the Strait of Hormuz chokepoint.

Near-term: Gulf oil exporters adjust fiscal projections downward as Brent crude drops 5-10% over the next 1-3 months, reducing petrodollar recycling into U.S. Treasuries and Western asset markets. Long-term: A completed Iran-Oman alternative route restructures Gulf maritime logistics over 2-5 years, diminishing U.S. leverage over Strait of Hormuz transit and shifting regional security guarantor dynamics toward Gulf Cooperation Council self-reliance.