US President Donald Trump on Wednesday, 27 May said Iran was making progress in nuclear negotiations with Washington but made clear that military action remained a live option, as oil markets stayed volatile and global attention fixed on the Strait of Hormuz — the chokepoint through which a significant share of world oil supplies passes.

Key Developments at the White House

Speaking during a Cabinet meeting at the White House, Trump framed the administration's core objective in unambiguous terms. 'Iran cannot have a nuclear weapon,' he said. 'I'm doing that for the world.'

The President acknowledged that Tehran had begun offering concessions but insisted any deal had to be comprehensive. 'We can make a good deal right now, but maybe not a great deal, and if it's not a great deal, we're not making it,' he said.

Strait of Hormuz: Trump Draws a Red Line

Trump repeatedly linked the nuclear talks to mounting tensions around the Strait of Hormuz, ruling out any arrangement that would give Iran control over the waterway. 'The Strait is going to be open to everybody,' he said. 'Nobody's going to control it. It's international waters.'

The President claimed approximately 1,400 to 1,500 vessels were currently holding near the strait awaiting passage. 'You have about 14, 1500 boats in the strait wanting to get out, and at the right time we'll release them,' he said — a remark that underscored the scale of commercial disruption already under way.

Oil Prices and the American Consumer

Trump acknowledged that US consumers had faced higher fuel costs following recent military escalation involving Iran but predicted relief was near. 'Those prices are going to come down fast,' he said. He also claimed the United States was now producing more oil than Russia and Saudi Arabia combined, and that expanded American and Venezuelan output would help stabilise global energy markets — a claim that could not be independently verified from the Cabinet meeting alone.

What Rubio and Hegseth Said

Secretary of State Marco Rubio said diplomacy remained Washington's preferred path but drew a firm line. 'The bottom line is Iran's never going to have a nuclear weapon,' Rubio said. 'Diplomacy is always the first option.' He added there had been 'some progress' in talks and said the coming days would be decisive for a broader agreement.

Secretary of War Pete Hegseth said recent US military operations had severely degraded Iran's capabilities. 'They may have missiles, but they can't build more right now,' he said. Hegseth described 'Operation Epic Fury' as part of a coordinated effort to pressure Tehran economically and militarily, adding that Iranian tankers were being targeted globally and that Iran's economy was, in his words, 'hurting big time'.

Broader Middle East Diplomacy in Play

Trump also signalled that a wider regional settlement could form part of any final arrangement with Tehran. He urged Gulf states, specifically naming Saudi Arabia and Qatar, to join the Abraham Accords, calling such a move 'historic'. This comes amid a broader US push to reshape Middle East alignments, with Iran's nuclear file at its centre.

Notably, Trump claimed Iran would have obtained a nuclear weapon 'within two weeks' had the US not acted — a claim that, if accurate, would represent one of the most consequential near-misses in recent non-proliferation history. Whether that timeline holds up to independent scrutiny remains an open question as negotiations continue.