U.S. and Iran pause fighting, Trump dismisses concerns of dwindling stockpiles

Key PointsThe U.S. military brought a halt to two weeks of strikes on Friday as diplomats sought to give peace talks "some space."

Israeli Prime Minister Benjamin Netanyahu said he is meeting with President Donald Trump to discuss the Iran war.Trump brushed aside mounting concerns about the depleting U.S.

munitions stockpile.In this article@LCO.1@CL.

1Follow your favorite stocksCREATE FREE ACCOUNTA woman walks past war-themed graffiti and murals painted on walls along the capital Tehran's streets and avenues as air defense systems are activated during the night while daily life continues in the shadow of rising military tensions between the US and Iran on July 22, 2026 in Tehran, Iran. Fatemeh Bahrami | Anadolu | Getty ImagesA temporary break in hostilities between the U.S.

and Iran appeared to hold on Monday, even as Tehran denied media reports that it had agreed to a 10-day ceasefire.Oil prices nevertheless fell sharply on the development, sending stocks soaring at the market open, though they pared those gains as the day wore on.The pause followed reports that diminished U.

S. stockpiles of key munitions are factoring into military decision making. President Donald Trump, who on Friday told Axios he was considering a "massive attack" on Iran, later set those plans aside amid those stockpile concerns, The New York Times reported.

On Monday, Trump insisted the U.S. has "plenty" of ordnance.

"We have a lot of ammunition, different types," he told reporters on Air Force One while flying to Michigan. Trump also cast blame on former President Joe Biden, saying his predecessor "gave a lot to Ukraine, and so we're building that up, but we have a lot.""We have a lot of the mid-level stuff too," Trump added.

"I mean, more than we could ever use, no matter what."Trump was also expected to meet with Israeli Prime Minister Benjamin Netanyahu, who had co-launched the war against Iran nearly five months earlier.The two leaders will primarily discuss Iran, Netanyahu said in an X post Monday morning.

"Our goal is clear: to safeguard Israel's security, strengthen its power, and expand the circle of peace around us," Netanyahu wrote.The combat hiatus began Friday, following nearly two weeks of U.S.

strikes against Iran in retaliation for attacks on ships in the Strait of Hormuz that shredded a temporary ceasefire that had already been repeatedly undermined.The cessation came as diplomats sought to give peace talks "some space." Iran, which has also refrained from military operations against regional targets in recent days, has said it will reciprocate following a China-led push to resume stalled diplomatic efforts in Pakistan.

Iran's Foreign Ministry spokesperson, Esmail Baghaei, on Monday said Iran "currently have no negotiations with the United States," reiterating that official ongoing talks are solely with Oman regarding the future of the Strait of Hormuz. While the U.S.

and Iran have paused hostilities, other actors did undertake military action related to the conflict over the weekend, highlighting the risk of further escalation and the complex challenges facing negotiators. The Saudi military conducted strikes on Iran-backed Houthi targets in Yemen following the rebel group's attacks on Red Sea shipping in recent days.Meanwhile, the Ukrainian military reportedly struck an Iranian commercial vessel in the Caspian Sea, killing one sailor and injuring another.

Kyiv said the vessel was being used to transport military cargo supporting Russia's invasion of the country, while Tehran decried the attack as a "hostile and criminal act."Nevertheless, investors were cheered by the pause in hostilities, which followed not long after the White House was said to be considering a "massive attack" on Iran. Oil prices plunged by more than 7% early on Monday as futures markets pointed to strong performance on Wall Street.

watch nowVIDEO2:5502:55Solution on the Strait of Hormuz will be very difficult, says Atlantic Council's Jonathan PanikoffThe ExchangeThe challenge facing negotiators But experts caution that prospects for a lasting peace face serious challenges. The U.S.

and Iran are not currently in direct, official talks, but negotiating via intermediaries. When direct talks are possible, negotiators will have to agree on controversial topics, such as the future of Iran's nuclear program, sanctions relief and Tehran's support for its proxy groups in the Middle East. From an economic perspective, the most important negotiating point will be guarantees of maritime security and the return and normalization of toll-free, two-way traffic flows through the strategically vital Strait of Hormuz.

The strait, through which a fifth of global oil supply flowed before the conflict, remains subject to an ongoing U.S. blockade.

Iran's Baghaei said Monday that the situation in the Strait of Hormuz has "not changed and it is still closed."Oman, which sits on the opposite side of the strait to Iran, has emerged as a key player in negotiations. An Omani d