US Approves $8.6B Arms Sales As Analyst Calls Trump’s Iran Blockade A ‘Delusional Silver Bullet’

Marco Rubio reportedly invoked emergency powers to fast-track the arms deals without prior congressional approval.
IBRX stock has surged over 400% year-to-date. (Representative image: Getty Images)
IBRX stock has surged over 400% year-to-date. (Representative image: Getty Images)
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Anushka Basu·Stocktwits
Updated May 03, 2026   |   5:45 AM EDT
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  • The United States has reportedly authorized $8.6 billion in military sales to Israel, Qatar, Kuwait, and the United Arab Emirates.
  • According to reports, an Iranian ship carrying over $220 million in oil managed to get past the US naval blockade and reach the Asia-Pacific region.
  • Two weeks ago, US-Iran talks were planned in Pakistan, but Trump’s ceasefire accusations clouded diplomacy.

The United States reportedly approved an $8.6 billion arms sale deal to important Middle Eastern allies such as Israel, Qatar, Kuwait, and the United Arab Emirates on Sunday.

The contracts allegedly included $4.01 billion in Patriot air and missile defense systems for Qatar, a $2.5 billion Integrated Battle Command System for Kuwait, and Advanced Precision Kill Weapon Systems for Israel at $992 million and the UAE at $147 million. The deals occurred after US Secretary of State Marco Rubio invoked emergency conditions to expedite the transfers without previous congressional approval, according to Al Jazeera.

At the same time, TankerTrackers.com reported that an Iranian very large crude carrier (VLCC) operated by the National Iranian Tanker Company reportedly evaded a US naval blockade and delivered approximately 1.9 million barrels of oil, worth approximately $220 million, to the Asia-Pacific. 

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Tanker carrying crude oil reportedly evades US blockade. Source: @TankerTrackers/x

Analysts Point To Rising Tension

The US plan has been critiqued by analyst Trita Parsi of the Quincy Institute. Parsi called the blockade "a delusional silver bullet” that blocked diplomatic progress. He said that the blockade has backfired economically by restricting oil supply and driving up costs, rather than bringing Iran to the bargaining table. Before the embargo was enforced, he said, Washington was in a stronger position during the earlier truce era.

Nearly two weeks ago, conversations were underway about a potential second round of talks between the two parties, with US Vice President JD Vance slated to attend negotiations in Pakistan.  However, the discussions were overshadowed by rising rhetoric, with President Donald Trump accusing Iran of persistently breaching a ceasefire and asserting that the US would keep control of the Strait of Hormuz until a final agreement was achieved.

The United States Oil Fund (USO) fell 2.92% to close at 142.80 on Friday, with retail sentiment on Stocktwits staying at the ‘neutral’ zone over the past day.

While the Global X Defense Tech ETF (SHLD) slipped 0.43% to 67.92, with retail sentiment on Stocktwits dropping to ‘bearish’ from the ‘neutral’ zone over the past day.’

Read also: Coinbase Executives Back CLARITY Act Even As Stablecoin Rewards Take A Hit

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