There is a ‘BIG BLOW’ coming to Iran, expert says

JON: PLUMP REJECTS A PROPOSAL BY. IRAN ON THE STRAIT OF HORMUZ. THIS WEEKEND, CALLING IT. UNACCEPTABLE. MEANWHILE, THE TRUMP. ADMINISTRATION IS RAMPING UP. PRESSURE AGAINST OTHER NATIONS. THAT ARE ALLOWING AIR TRAVEL TO. IRAN. JEFF PAUL REPORTS LIVE FROM. TEL-AVIV FOR US. JEFF. >> Reporter: YEAH, JON, AND WE. ARE LEARNING TODAY THAT. ACCORDING TO AXIOS, PRESIDENT. TRUMP EXPECTS NEGOTIATORS TO. ENGAGE IN MORE TALKS THIS WEEK.

WITH IRAN, AND THAT IS DESPITE, AS YOU MENTIONED, PRESIDENT. TRUMP REJECTING IRAN'S LATEST. CEASEFIRE PROPOSAL. PRESIDENT TRUMP SAYS THAT IRAN. ONLY WANTS TO MAKE A DEAL RIGHT. NOW BECAUSE THEY'RE LOSING SO. BADLY. WHEN REFERENCING THE U.S. ECONOMY TODAY BEFORE LEAVING THE. WHITE HOUSE, TRUMP ADD -- HADED. THIS TO SAY -- HAD THIS TO SAY. ABOUT IRAN. >> OIL WILL COME DROPPING DOWN. AS SOON AS IRAN GIVES UP, AS. SOON AS THE WAR IS OVER WHICH. WILL BE SOON. OIL IS GOING TO COME PLUMMETING.

DOWN, AND ALL PRICES ARE COMING. DOWN. WE'RE TAKING TREMENDOUS AMOUNTS. OF OIL OUT. LAST NIGHT WE TOOK A RECORD. AMOUNT OF OIL OUT FROM THE. HORMUZ STRAIT, MORE THAN WE TOOK. OUT BEFORE THE WAR. >> Reporter: NOW, IRAN HAS. PROPOSED REOPENING THE STRAIT OF. HORMUZ IN SEVEN DAYS IF THE U.S. AGREES TO END ITS MILITARY. BLOCKADE, RELEASE ITS FROZEN. IRANIAN ASSETS AND WAIVES. IRANIAN OIL SANCTIONS. IT'S A VERY SIMILAR PROPOSAL TO. THE PREVIOUS MEMORANDUM OF. UNDERSTANDING THAT WAS TORN UP. AFTER IRAN STARTED FIRING AT.

SHIPS ONCE AGAIN IN THE STRAIT. OF HORMUZ. WHAT'S DIFFERENT THIS TIME. AROUND IS THAT THERE'S A LOT. MORE ECONOMIC OR PROBLEM ON. TEHRAN, AND U.S -- PRESSURE ON. IRAN, AND U.S. MIDTERMS ARE. COMING UP. ABBAS ARAGHCHI SAYS THERE HAVE. BEEN A LOT OF CONTRADICTORY. COMMENTS COMING FROM PRESIDENT. TRUMP. ARAGHCHI SAYS HE IS STILL. WAITING ON AN OFFICIAL RESPONSE. FROM MEDIATORS. >> TRANSLATOR: THERE WILL BE NO. SOLUTION OTHER THAN A NEGOTIATED. SOLUTION BASED ON DIGNITY AND.

JUSTICE, ONE THAT SECURES THE. RIGHTS OF THE IRANIAN PEOPLE AND. FULFILLS THE DEMANDS OF THE. IRANIAN PEOPLE. WHICH ARE LEGITIMATE DEMANDS. ONLY A NEGOTIATED SOLUTION CAN. GET THEM OUT OF THIS DEADLOCK. >> Reporter: NOW, DESPITE THE. PRESIDENT'S COMMENTS, THE WHITE. HOUSE CONFIRMS THAT U.S. OFFICIALS ARE, IN FACT, ENGAGING. IN TALKS WITH MEDIATORS THAT ARE. BOTH CONSTRUCTIVE AND POSITIVE. JON? JON: JEFF PAUL LIVE FROM TEL. AVIV. JEFF, THANK YOU.

FOR MORE ON THIS, LET'S BRING IN. NATIONAL SECURITY AND MILITARY. ANALYST DR. REBECCA GRANT. SHE'S ALSO VICE PRESIDENT AT THE. LEXINGTON INSTITUTE. WE HEAR, DR. GRANT, EVEN THE. PRESIDENT SAYS THAT THE IRANIAN. ECONOMY IS BEING STRANGLED. ESSENTIALLY BY THE BLOCKADE. BUT WHAT DO WE KNOW ABOUT. CONDITIONS IN IRAN IN WHAT CAN. YOU TELL US? >> WE KNOW THAT INFLATION IS. VERY HIGH, AND WE KNOW THAT MOST. IMPORTANT OF ALL IRAN CANNOT. SELL A DROP OF OIL.

AND THERE IS ANOTHER BIG BLOW. COMING TO IRAN'S ECONOMY. TREASURY SECRETARY BESSENT SAYS. THEY HAVE ABOUT 15 MILLION. BARRELS OF OIL ON SHIPS. ONCE THAT IS G GONE, THAT IS ZEO. OIL REVENUE GOING IN. SO THIS WAS AN ECONOMY THAT WAS. ALREADY ON LIFE SUPPORT, AND NOW. THE ECONOMIC FURY, PRESSURE IS. REALLY GOING TO BEGIN HITTING. THE QUESTION IS, WILL IT HIT. THOSE IRGC HEAVYWEIGHTS HARD.

ENOUGH TO MAKE THEM AGREE TO A. CEASEFIRE. JON: SCOTT BESSENT WAS ON. "SUNDAY MORNING FUTURES" WITH. LARRY KUDLOW THIS MORNING AND. TALKED ABOUT THAT. LISTEN. >> I AM CONFIDENT GIVEN THAT. THERE'S ONLY 15 MILLION MORE. BARRELS OF IRANIAN OIL ON THE. WATER, THAT IRAN WILL HAVE. NOTHING LEFT TO TRADE FOR. ANYTHING. THEY WILL HAVE NOTHING TO TRADE. FOR ANYTHING. I BELIEVE THAT THEY ARE FEELING. THE PRESSURE HERE, AND THAT'S. WHY THEY WANT A DEAL. AND YOU SAW WHEN PRESIDENT TRUMP.

WAS LEAVING THE WHITE HOUSE THIS. MORNING THE IRANIANS SAY THEY'LL. OPEN THE STRAITS WITHIN SEVEN. DAYS. LARRY, THE STRAITS ARE OPEN. JON: SO, YOU KNOW, THAT'S WHERE. CHINA COMES IN, BECAUSE CHINA. HAS BEEN PROPPING UP IRAN IN A. LOT OF WAYS. THE PRESIDENT SPOKE WITH. PRESIDENT XI JINPING THIS WEEK. HOW MUCH IS CHINA DOING TO. SUPPORT IRAN EITHER WITH OR. WITHOUT SORT OF PERMISSION FROM. THE UNITED STATES? >> RIGHT.

AND WE KNOW CHINA HAS BEEN. IRAN'S NUMBER ONE SUPPORTER, BUYING ABOUT 90% OF THEIR OIL, OBVIOUSLY, NOT DOING THAT NOW. BUT THEY DID THAT RIGHT UP. THROUGH THE SUMMER AND GOT A. COUPLE OTHER BIG CRUDE OIL. DELIVERIES THIS SUMMER. SO CHINA IS TO BLAME FOR IRAN'S. OIL TERRORISM. AT THIS POINT THAT'S REALLY BEEN. CUT OFF, AND WE SAW OUR. AMBASSADOR TO CHINA, DAVID. PERDUE, SAY, HEY, LOOK, NO. PARTS, NO INTEL TO COME FROM.

CHINA INTO IRAN. SO THIS U.S. NAVY BLOCKADE IS. ALSO A HUGE MESSAGE TO XI. JINPING THAT HE CANNOT SUPPORT. TERRORIST REGIMES LIKE THIS. AND I'M SO GLAD TO SEE OUR NAVY. BLOCKADE OUT THERE, THE TWO. AIRCRAFT CARRIERS, THE. DESTROYERS AND THE 50,000 U.S. SERVICE MEMBERS THAT ARE KEEPING. THAT IN PLACE. JON: YEAH. AMBASSADOR TO CHINA DAVID PERDUE. SAYS THAT PRESIDENT XI HAS SORT. OF CHANGED THINGS, CHANGED THEIR. APPROACH TO IRAN, AT L LEAST. THAT'S WHAT HE TOLD PRESIDENT. TRUMP.

LISTEN. >> ANY HELP THAT CHINA WOULD. GIVE IRAN WHETHER IT BE. INTELLIGENCE OR PARTS OR DIRECT. MILITARY EQUIPMENT WOULD BE. TOTALLY UNACCEPTABLE. HE REITERATED THAT THIS WEEK. PRESIDENT XI ASSURED HIM THAT. CHANGES HAD BEEN MADE, THAT THEY. WERE LOOKING INTO IT. WE'RE GALVANIZING THE REST OF. THE WORLD ABOUT IRAN. WE'RE GALVANIZING THE REST OF. THE WORLD ABOUT THE. WEAPONIZATION OF SOME OF THESE. SINGLE-SOURCE-DOMINANT POSITIONS. THAT CHINA HAS. AND IT'S GRATIFYING TO SEE SOME. OF THE ALLIES COMING TO US ABOUT.

THAT. JON IN YOUR ASSESSMENT, IS HE. RIGHT? IS THE WORLD SORT OF TURNING ITS. BACK ON IRAN? >> OH, YES. THIS WAS A HUGE MOMENT WITH. PERDUE BASICALLY SAYING, YOU. KNOW, CHINA HAS BEEN TOLD TO. KNOCK IT OFF. AND, JON, CHINA'S THE ONE THAT. SOLD IRAN MISSILE FUEL, CHEMICALS AND ANTI-SHIP CRUISE. MISSILES, IT'S A LONG LIST. THIS IS REALLY OUR FIRST. CONFIRMATION THAT TRUMP HAS SAID. TO XI THIS HAS GOT TO STOP, AND. WE SEE THAT AGREEMENT AROUND THE.

WORLD. OF COURSE, THERE ARE SANCTIONS. IN PLACE THAT CAN HIT CHINA IF. WE NEED TO AND A LOT OF. SANCTIONS ON BANKS THAT HAVE. BEEN HELPING TO SUPPORT THE. IRGC. I THINK THE DIPLOMACY, ECONOMIC. AND, OF COURSE OF COURSE, ALWAYS. THE MILITARY OPTIONS IN PLACE. ARE REALLY COMING IN,S AND. PRESSURE ON IRAN IS ONLY GETTING. STRONGER. JON: THEY APPARENTLY THINK THAT. IF THEY WAIT PAST THE MIDTERM. 4REBGSS, THAT THINGS WILL CHANGE. IN THIS COUNTRY. -- ELECTIONS. HOW DO YOU ASSESS THAT HOPE ON. THEIR PART. >> NOT A CHANCE. AND I THINK PRESIDENT TRUMP HAS.

TELEGRAPHED THAT, THAT HE'S GOT. SOMETHING UP HIS SLEEVE IF NEED. BE. HE'D RATHER SEE A DEAL. BUT THE BIG REALITY HERE IS THAT. FLOW OF OIL THROUGH THE STRAIT. OF HORMUZ WITH THE AMOUNT COMING. THROUGH THE STRAIT AND THE. AMOUNT GOING OVER LAND THROUGH. THE PIPELINE. YOU'RE GETTING VERY CLOSE TO A. NORMAL OIL FLOW. THAT IS GOING TO TOTALLY. SIDELINE IRAN AND END ANY CHANCE. THEY HAVE TO EXERT LEVERAGE. SO ALL THE LEVERAGE, I THINK, REMAINS9 WITH THE U.S. AND OUR. ALLIES, AND I'M REALLY GLAD TO. SEE THAT PRESSURE ON IRAN. JON: A.