On Tuesday, Iran ruled out direct talks with senior U.S. officials despite Washington's latest diplomatic push, underscoring deep divisions over a fragile ceasefire and the future of one of the world's most critical oil transit routes.

Oil Prices Ease Despite Lingering Tensions

Late in the day, Dow futures fell 59.00 points, or 0.11%, to 52,611.00, while S&P 500 futures were little changed at 7,548.25 and Nasdaq 100 futures rose 19.50 points, or 0.06%, to 30,543.00 as of around 8:53 p.m. EDT.

In commodities, WTI crude oil rose 0.78% to $70.04 per barrel, while Natural gas futures fell 0.79% to $3.249 per MMBtu.

Brent crude futures for August delivery, the global benchmark, edged lower to $72.92 per barrel. The contract fell about 21% in June, marking its steepest monthly decline since March 2020, according to CNBC.

Meanwhile, the U.S. dollar index, which tracks the greenback against a basket of currencies, rose 0.11% to 101.286.

Asian markets were mixed, with South Korea's KOSPI falling 0.19% to 8,460.72, while Japan's Nikkei 225 gained 2.54% to 71,843.25.

Iran Rejects Direct Meeting With US Envoys

Iranian officials said they would not hold direct talks with U.S. envoy Steve Witkoff and President Donald Trump's son-in-law Jared Kushner, who traveled to Qatar for what the White House described as high-level discussions aimed at preserving the ceasefire, Reuters reported.

Instead, the U.S. delegation will communicate through Qatari mediators. Qatar confirmed Prime Minister Sheikh Mohammed bin Abdulrahman Al Thani met with Witkoff and Kushner.

“No meeting at any level with the American side has been scheduled for the coming days,” Iranian Foreign Ministry spokesperson Esmaeil Baghaei said.

The development casts fresh uncertainty over a 60-day negotiating framework intended to build on a ceasefire reached two weeks ago and eventually address Iran's nuclear program and regional security issues.

Strait Of Hormuz Dispute Threatens Oil Market Stability

Iran also signaled it intends to assert greater control over the Strait of Hormuz, the strategic waterway that carries roughly one-fifth of global oil and liquefied natural gas shipments.

Mohammed Baqer Qalibaf, Iran's top negotiator, said on state television that “the sovereignty of the Strait of Hormuz lies with Iran and Oman,” adding that vessel traffic would be governed by arrangements determined by Tehran.

Iranian officials have also indicated they could begin imposing transit tolls after the 60-day negotiation period expires in mid-August.

U.S. Vice President JD Vance rejected that possibility.

“This is not going to end in a place where the Iranians are collecting tolls on ships going through the Strait of Hormuz,” Vance said on The Michael Knowles Show.