US President Donald Trump remarked that the market is "very happy" with Iran truce deal while speaking to reporters in on the sidelines of the G7 Summit in France.
Oil prices, which have already corrected sharply due to the progress in talks, could move below levels seen before the conflict according to Trump.
The Republican President reiterated that the Strait of Hormuz was already partially open and would be fully reopened within the next day or two. He added that lower crude prices would have a positive impact on affordability.
"There is nothing so smart as the market," Trump said, while noting that he would discuss further details of the Iran deal at a press conference later on Wednesday.
Crude Oil prices slipped below $80 per barrel for the first time since March on Tuesday. However, they rose again on Wednesday marginally to trade 0.4% higher at $79.25. During the day they slipped as low as $77/barrel.
Trump underlined that oil prices cooled off because ships were being taken out of Hormuz in a bid to normalise traffic through the key maritime transit strait.
ALSO READ: Trump Confirms Deal With Iran Already Signed, Hormuz Partially Opened; To Release MoU Text Soon
On Monday, Trump had confirmed that a preliminary agreement to end the war with Iran has been signed, announcing that the Strait of Hormuz was already partially reopened and would be fully operational by Friday, when the deal is formally inked in Geneva.
Speaking at the G7 summit in Evian, France, during a meeting with French President Emmanuel Macron, Trump said, "The deal is all signed and the Strait of Hormuz is already partially opened. Ships are starting to go out now and on Friday it will be completely opened. Get along very well with Iran, it's a different set of people."
Trump added that Iran had fully accepted the core demand on nuclear weapons.
"Main thing is that Iran will not have a nuclear weapon, they fully agreed to that. We have done a great job and hopefully it's going to be a good relationship and we are going to get along, and if we don't, we go back to where we started but I don't think that's going to be necessary," he said.
Essential Business Intelligence, Sharp Market Insights, Practical Personal Finance Advice, Daily Fuel, Gold and Silver Prices and Latest Stories — On NDTV Profit.
