Trump hints US may stay in Iran and retain oil, likening it to Venezuela deal
Donald Trump suggested the United States could remain engaged in Iran and keep its oil output, drawing a parallel with the recent U.S. arrangement in Venezuela, a comment that could pressure global oil prices.
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Desk Analysis
How This Affects the Exchange
Sector Effect
Negative · Do not buy
Lower oil prices expected from a US‑Iran deal hurt Oil & Gas sector; avoid buying related stocks.
Sectors & Direction
Desk read
Desk call: Do not buy · Negatively affected
- Oil & GasNegatively affected
Companies
Companies Mentioned
- OGDC· Negatively affected · Do not buy
Mentions in This Briefing
Sectors: Oil & Gas — Negative · Do not buy. PSX tickers: OGDC. Lower oil prices expected from a US‑Iran deal hurt Oil & Gas sector; avoid buying related stocks.
Full Story
Open on Business Recorder## Trump’s Statement on Iran and Oil
Former U.S. President Donald Trump said the United States could choose to stay involved in Iran and "keep the oil," comparing the scenario to the U.S. deal that gave it control over a portion of Venezuela’s oil reserves. He made the remarks during a visit to Ireland, where he attended the Irish Open golf championship and met with officials.
## Expected End to the Iran Conflict
Trump reiterated his belief that the war in Iran would conclude by the end of the year, possibly shortly after the U.S. mid‑term elections in November. He claimed Iran is eager for a peace deal, although Tehran has previously dismissed such assertions.
## Potential Impact on Oil Prices
The former president warned that gasoline prices would "drop like a rock" once the Iran conflict ends, implying a significant decline in global oil prices. This comment follows recent turmoil in the Middle East, including an attack on a Saudi oil pipeline that had temporarily lifted oil prices.
## Comparison with Venezuela Deal
Trump referenced the U.S. agreement announced in August that allowed the United States to take control of about one‑fifth of Venezuela’s oil output. He noted that revenue from Venezuela has historically funded U.S. military operations, suggesting a similar financial incentive could exist for Iran.
## Market Implications
Analysts note that a sustained lower oil price environment would likely pressure Pakistan’s oil‑and‑gas sector, reducing earnings for companies reliant on higher crude prices. Investors should monitor developments closely as any shift in U.S. policy toward Iran could quickly translate into price volatility on the PSX.