Romeo and Juliet is an epic love tale adapted for two clandestine star crossed lovers brought up on ‘streets of shame‘. Juliet who once had a genuine thing for Romeo has fallen out with him, and Romeo feels jilted that she let him go as if he was just another one of her ‘deals’ after having promised him ‘thick and thin’. Romeo and Juliet is Romeo’s plea to Juliet that she take him back despite his modest talents as a serenador. Because his endless love for her is set in the bars of a rhyme.
From Wikipedia: The song itself, written by Knopfler, was inspired by his failed romance with Holly Vincent, lead singer of the short-lived band Holly and the Italians. The song speaks of a Romeo who is still very much in love with his Juliet, but she now treats him like “just another one of [her] deals”. Knopfler has both stated and implied that he believes Vincent was using him to boost her career.
Romeo and Juliet is an iconic Dire Straits tune, but my appreciation now is not as strong as it once was. It once pulled at the old heart strings, but not so much anymore. I hold a higher estimation of some of their other tracks including Brothers in Arms and Tunnel of Love than I do R&J, even so I would never dismiss it from my collection because of its nostalgic significance.
The following information was extracted from Wikipedia:
Romeo and Juliet first appeared on the 1980 album Making Movies and was released as a single in 1981, and attained No. 8 in the UK and 5 in Ireland. It subsequently appeared on their Greatest Hits records and various live versions on other albums. Interestingly the piano lick by Roy Bittan is borrowed from his own lick on the song Jungleland, of the 1975 Bruce Springsteen album Born to Run.
[Verse 1]
A love-struck Romeo sings a streetsuss serenade
Laying everybody low with a love song that he made
Finds a streetlight, steps out of the shade
Says something like, “You and me babe, how about it?”
Juliet says, “Hey, it’s Romeo
You nearly gave me a heart attack”
He’s underneath the window
She’s singing, “Hey la, my boyfriend’s back
You shouldn’t come around here
Singing up to people like that
Anyway, what ya gonna do about it?”
[Chorus]
“Juliet, the dice was loaded from the start
And I bet, when you exploded into my heart
And I forget, I forget the movie song
When you gonna realize
It was just that the time was wrong, Juliet?”
[Verse 2]
Come up on different streets
They both were streets of shame
Both dirty, both mean
Yes, and the dream was just the same
And I dreamed your dream for you
And now your dream is real
How can you look at me
As I was just another one of your deals?
Well you can fall for chains of silver
You can fall for chains of gold
You can fall for pretty strangers
And the promises they hold
You promised me everything
You promised me thick and thin, yeah
Now you just say, “Oh Romeo, yeah
You know I used to have a scene with him”
[Chorus]
“Juliet, when we made love you used to cry
You said I love you like the stars above, I’ll love you ‘til I die
There’s a place for us, you know the movie song
When you gonna realize
It was just that the time was wrong, Juliet?”
[Verse 3]
“I can’t do the talks like they talk on the TV
And I can’t do a love song like the way it’s meant to be
I can’t do everything, but I’d do anything for you
I can’t do anything except be in love with you
And all I do is miss you and the way we used to be
All I do is keep the beat to bad company
And all I do is kiss you through the bars of a rhyme
Juliet, I’d do the stars with you anytime”
[Chorus]
References:
1. Romeo and Juliet (Dire Straits song) – Wikipedia

I have to agree with you, Matt, an iconic song by Dire Straits. I think this is Mark Knopfler at his best when it comes to songwriting. Except for the closer, the entire “Making Movies” album is a gem and one of the top Dire Straits albums, in my book.
I think I prefer his songwriting post Dire Straits like his soundtrack work ‘Going Home’ which I know is instrumental and ‘Postcards from Paraguay’ and the rest. My quintessential tracks from him are ‘Tunnel of Love’ and ‘Going Home’.
I’ve only listened to a handful of songs from Knopfler’s solo catalog. This includes some songs from his most recent album “One Deep River,” which came out in April this year. I love his guitar-playing, so I bet it would be worthwhile to further explore his solo catalog!
My page has featured six songs from him as a solo artist. Love them all. ‘One Deep River’ is cool. He’s one of the greatest contemporary musical guitarists I have heard.
I’ve loved this song since 1980. I was 20 in 1980.
Great memories this song elicits.