US-Iran peace talks have broken down, which is bad news for the global economy as oil prices look set to spike.

• Iran called off all talks with the US after Israel kept attacking Lebanon, and Trump said he doesn't care if the talks are dead.
• Iran controls the Strait of Hormuz and is now charging ships a toll to pass, expected to bring in over a billion dollars a month and ease the pain of US sanctions.
• Iran is threatening to also block the Bab el-Mandeb strait, which would choke even more of the world's oil shipping.
• Exxon warns oil could jump to $150–$160 a barrel in coming weeks as reserves run low — even without the war restarting.
• Trump asked Netanyahu to hold off attacking Beirut, but Netanyahu publicly said he'll keep hitting Lebanon anyway, showing who really has the upper hand.

Outlook: Unless Trump cuts a direct deal with Iran, oil prices keep climbing and the conflict drags on with no peace in sight.