By Francois Murphy
VIENNA (Reuters) – U.N. nuclear watchdog chief Rafael Grossi expressed optimism on Wednesday regarding Iran’s decision to cap its uranium stock just below weapons grade. However, a Western-drafted resolution being considered by the agency’s board could potentially derail this progress.
According to the International Atomic Energy Agency, Iran has taken steps to halt the expansion of its uranium stock enriched to nearly 60%, which is close to weapons-grade levels. This move comes after Grossi brokered a deal with Iran last week, contingent on Western powers refraining from passing a resolution condemning Iran’s actions. Despite this, countries like Britain, France, Germany, and the United States have submitted the text for consideration.
Grossi described Iran’s action as a positive step forward, as it would limit the amount of uranium enriched to 60% to a level that, if further enriched, could produce four nuclear weapons. The resolution is a follow-up to one passed in June, which criticized Iran’s lack of cooperation with the IAEA and called for a comprehensive report on its activities.
The goal of this resolution is to pressure Iran into new negotiations regarding its nuclear activities before the expiration of the 2015 deal with major powers in October. However, the future of these negotiations remains uncertain, especially with the upcoming change in U.S. leadership.
Despite Iran’s agreement to halt the stockpiling of 60% enriched uranium, Grossi did not confirm if a formal commitment had been made. Iran has previously reacted to criticism by either escalating its nuclear activities or reducing cooperation with the IAEA.
Analysis: This development in Iran’s nuclear program has significant implications for global security and geopolitical stability. Investors should monitor the situation closely, as any escalation could lead to increased volatility in financial markets. Additionally, the outcome of negotiations could impact energy prices, particularly oil, as Iran is a major player in the region. Stay informed and be prepared to adjust your investment strategy accordingly.