Trump says he called off a planned military strike on Iran scheduled for the next day, but is threatening a full-scale assault if no deal is reached — bad news for oil markets, the global economy, and anyone hoping the conflict ends soon.

• Trump claims Middle East leaders from Qatar, Saudi Arabia, and the UAE asked him to hold off on attacking Iran so a nuclear deal can be negotiated.
• Oil prices stayed above $100 a barrel, showing markets do not believe tensions are over.
• US polling shows 65% disapprove of how the Iran conflict is being handled, but the White House says decisions are not based on opinion polls.
• The blockade and the Strait of Hormuz situation are pushing inflation higher worldwide, hitting developing countries and Asia especially hard.
• Trump is boxed in — he needs a win to justify the war's costs, but the global situation is already worse than before the fighting started.

Outlook: Expect more threats and stalled talks, with oil prices and inflation staying high until either a deal happens or a wider attack begins.