LIVE: Confusion over JD Vance’s Pak visit after Trump claims delegation departure

Oil prices rose in early trading Sunday (US time) as a standoff between Iran and the US prevented tankers from using the Strait of Hormuz.

The price of US crude oil increased 6.4 per cent to USD 87.88 per barrel after trading resumed on the Chicago Mercantile Exchange. The price of Brent crude, the international standard, climbed 6.5 per cent to USD 96.25 per barrel.

The market reaction followed more than two days of growing hopes and dashed expectations involving the strait. Crude prices plunged more than 9 per cent after Iran said Friday that it would fully reopen the passage to commercial traffic.

Canadian Prime Minister Mark Carney said in a video address released Sunday that Canada’s strong economic ties to the United States were once a strength but are now a weakness that must be corrected.

In the 10-minute address, Carney spoke about his government's efforts to strengthen the Canadian economy by attracting new investments and signing trade deals with other countries.

"The world is more dangerous and divided," Carney said. "The US has fundamentally changed its approach to trade, raising its tariffs to levels last seen during the Great Depression.

"Many of our former strengths, based on our close ties to America, have become weaknesses. Weaknesses that we must correct," he said.

Carney said tariffs imposed by US President Donald Trump have affected workers in the auto and steel industries. He added that businesses are holding back investments "restrained by the pall of uncertainty that's hanging over all of us." Many Canadians have also been angered by Trumps comments suggesting Canada become the 51st state.

"Security can't be achieved by ignoring the obvious or downplaying the very real threats that we Canadians face," he said. "I promise you I will never sugarcoat our challenges."

Carney had received widespread praise for condemning economic coercion by great powers against small countries during a speech in January at the World Economic Forum in Davos, Switzerland. His remarks had brought a rebuke from Trump.

"Canada lives because of the United States," Trump said after the speech. "Remember that, Mark, the next time you make your statements." There was no immediate White House reaction Sunday to the address.

Prime Minister Shehbaz Sharif spoke to Iranian President Masoud Pezeshkian and discussed the “current regional situation”, even as President Donald Trump announced the visit of US delegation to Islamabad on Monday for second round of talks.

In a telephone call with President Pezeshkian on Sunday, PM Sharif discussed his own recent engagements with a number of world leaders, including the leadership of Saudi Arabia, Qatar and Turkiye,” the Prime Minister’s Office (PMO) said in a handout, Dawn reported. “During their warm and cordial conversation that lasted for around forty-five minutes, the two leaders engaged in detailed exchanges on the current regional situation,” it added.

Sharif also thanked the Iranian president for sending delegation for first round of talks in Islamabad, the PMO stated.

“The prime minister reaffirmed that, with the support of friends and partners, Pakistan would remain fully committed to its honest and sincere efforts to advance regional peace and security,” it stated.

“President Pezeshkian thanked the PM Shehbaz and CDF Munir for Pakistan’s strong commitment to the success of the peace efforts, while affirming that relations between Iran and Pakistan would continue to grow stronger in the days ahead,” said the statement, reported Dawn.

While US President Donald Trump has said negotiators would head to Pakistan on Monday for more talks with Iran, but neither Iran nor host Pakistan have confirmed it.

While authorities have begun tightening security in Islamabad, the only player that has openly committed to another round of talks is the Trump administration. (AP)