US President Donald Trump heightened geopolitical tensions on Saturday by signaling the possibility of renewed military action against Iran if the nation "misbehaves," according to reports from Axios.
I observe that while both nations continue to exchange drafts for a framework agreement, President Trump is reportedly considering new military strikes to break the current diplomatic stalemate. He has reset the inflection clock to bypass U.S. Congressional approval, despite the completion of the 60-day ceasefire period on May 1, 2026.
The administration is currently reviewing a 14-point proposal from Tehran that demands a one-month deadline to reopen the Strait of Hormuz and lift the U.S. naval blockade.
Under the Iranian terms, negotiations regarding their nuclear program would only commence after a permanent ceasefire is reached in both Iran and Lebanon.
Military preparations by the United States appear to be accelerating alongside these diplomatic hurdles, as CENTCOM commander Adm. Brad Cooper recently briefed the President on updated strike plans.
Cooper has since departed for the Arabian Sea to meet with troops stationed aboard the USS Tripoli as the White House weighs its next move.
U.S. President Donald Trump announced on Sunday that he will soon review a new peace proposal from Iran, though he expressed deep skepticism regarding its potential for success.
I observe that President Trump often creates sensation. Since taking office on January 20, 2025, he has pursued his trade-tariff agenda, imposing heavy tariffs on U.S. trading partners to assert supremacy and influence global trade.
His tariff agenda is now on the back foot as President Trump has switched from imposing tariffs to controlling foreign resources, which he sees as easy to seize by force.
Trump started this year by capturing Venezuelan President Nicolás Maduro on January 2, accusing him of drug trafficking, while the main objective was to hold complete control over Venezuela's oil and other rare-earth materials.
After this success, President Trump started to push his agenda to control Greenland with excuses like threats to the national security of the U.S.
But collective objection raised by European nations, especially NATO members, forced him to abandon that idea as his focus shifted towards Iran, which he had already tried with close Alie Israeli Prime Minister Netanyahu last year but remained unsuccessful.
On February 28, 2026, President Trump joined Netanyahu in bombing Iran; the excuse limited itself to regime change in Iran but as days passed his demands expanded: stop Iran's nuclear enrichment program; hand over its Uranium stockpiles; limit missile range.
Undoubtedly, despite applying his best strategies from diplomacy to direct threats, President Trump still feels depressed and continues shifting his strategy towards taking control over Iranian oil only.
I observed that his repeated threats and blockade of the Gulf to increase pressure on Iran to open the Strait of Hormuz have fueled oil prices, leading to a surge in inflation all over the world.
Now, in a post on Truth Social, the President stated he "can't imagine" the plan would be acceptable, arguing that Tehran has "not yet paid a big enough price" for its actions over the last 47 years.
The proposal, reportedly delivered via Pakistani mediators, follows weeks of intense back-channel diplomacy aimed at ending the 2026 Iran war.
During a contentious congressional hearing on April 29, 2026, U.S. Secretary of War Pete Hegseth (serving as Secretary of Defense) forcefully defended President Donald Trump's mental stability against questions raised by Democratic lawmakers regarding his fitness to serve as Commander-in-Chief.
Hegseth reacted angrily, refusing to give a simple yes-or-no answer and instead deflecting by questioning whether similar inquiries were made about former President Joe Biden.
My further observations on rising volatility in global markets due to changing stances of President Trump, especially on weekends, raising doubts over the way global markets behave on Mondays, Tuesdays and Wednesdays as despite holding a normal tone up to Friday - may it be bearish or bullish - changes all of a sudden on Monday with a statement shift by the President Trump on weekends, followed by his reversal on Tuesday or Wednesday from what he had said on weekend.
On Sunday, U.S. President Trump finally announced a new initiative, dubbed "Project Freedom," aimed at assisting neutral commercial vessels stranded in the Strait of Hormuz amid ongoing regional tensions.
According to the statement, multiple countries not involved in the Middle East conflict have requested U.S. assistance after their ships became stuck in restricted waterways. The vessels, described as "innocent bystanders," are reportedly facing shortages of food and essential supplies for their crews.
I tried to calculate the impact of such shifts, leading to closing by gold futures on week's end (Friday's close), which can be clearly seen in an hourly chart of the gold futures for a long time, as I have discussed in detail in my previous analysis on April 25 and May 2, 2026.
I conclude that if global markets remain bullish till Friday, a weekend statement by President Trump on geopolitical concerns will turn bearish at next week's opening; vice versa.
Once again, the markets take a U-turn on Tuesday evening or Wednesday morning; a reversal of the same stance can be experienced.
I find that every step taken by US President Donald Trump since January 20, 2025 has not only dented the American economy but also dented the global economy.
As I had predicted, gold futures were to start this week with a gap-down; and gold futures did exactly as I predicted today.
Now I find that if the gold futures find a breakdown below the key support at $4,540.45 in today's session, the next target at $4,399 could be tested this week as the gold futures are trading below the immediate resistance at $4,641.66 even below the 100 EMA ($4,656.92) on the daily charts.
Disclaimer: Readers are advised to take any position in gold and oil at their own risk, as this analysis is based only on observations.