Trump said Washington and Tehran had held discussions about a ‘total resolution of hostilities’ - and will provisionally pause all strikes on energy infrastructure for five days
Donald Trump insisted on Monday that Washington and Tehran are still in regular contact and are both interested in agreeing terms to end the war , after Iran’s foreign ministry denied talks and said the president was only trying to soothe energy markets.
After threatening to “obliterate” Iran only on Saturday, Trump told reporters today that direct talks with Iran are progressing well towards making a deal on Iran’s nuclear programme.
The president also warned that the US “will just keep bombing our little hearts out” if an agreement cannot be reached .
He added that he did not recognise the leadership of Mojtaba Khamenei and said his envoy has been communicating with ”a top person” instead.
Trump refused to be dragged into commenting on the possibility of putting US boots on the ground, saying he would not divulge information on “strategy”.
He suggested that without a deal the US could instead pursue regime change and joint leadership, or find a leader “like we did in Venezuela” following the ousting of longtime leader Nicolas Maduro.
Earlier today, Trump said that both sides had held "VERY GOOD AND PRODUCTIVE" conversations about a "COMPLETE AND TOTAL RESOLUTION OF HOSTILITIES IN THE MIDDLE EAST" - something Iran promptly denied.
Iran’s foreign ministry said that there had not been any direct talks with the US.
The ministry said that while there are initiatives from regional countries to de-escalate, all requests should be directed towards the US “as we did not initiate the war”.
Starmer says war could go on for 'some time'
Keir Starmer, speaking now about Iran in the House of Commons, says that “we have got to plan for the possibility that the Middle East conflict could go on for some time”.
He reassures that the UK has not got any “meaningful concerns” about energy supply.
He says the government was made aware of talks between the US and Iran.
Analysis: Iran has finally exposed the limits of Trump’s power
A five-day ‘pause’ allows Gulf nations to find dwindling air defences, buys Iran’s decentralised military system respite and gives Trump the chance to reflect on how to get out of a quagmire Tehran prepared for him, writes world affairs editor Sam Kiley:
Trump claims Iran would have had a nuke within two weeks had US not bombed Iran last year
Donald Trump sensationally claims that Iran would have had a nuclear weapon within two weeks had the US not attacked Iran with Israel last June.
He says this time that he thinks there was an imminent threat from Iran.
The president claims Iran has agreed to not having a nuclear weapon, and says there are 15 points of agreement so far.
Iranian nuclear deal would be 'guaranteed peace': Trump
Asked whether Israel would support a nuclear deal to restrict Iranian proliferation, Trump says such a deal would be “guaranteed peace”.
US holding talks with Iran, not Khamenei, says Trump
Speaking now from Palm Beach, Florida, Trump says that he’s holding talks with the people who “seem” to be running Iran.
He says it is still unclear whether supreme leader Mojtaba Khamenei is even alive.
He says a deal to end uranium enrichment would be a great chance for Iran to build itself back, as well as a good deal for Israel and the US.
Trump says Iran wants to make a deal with the US
Donald Trump has doubled down on his claims that Washington and Tehran are actively engaged in diplomatic conversations to end the war.
Fox News’ Maria Bartiromo reports that Trump - asked about the reports denying there are direct talks ongoing - said he does not know what they are talking about.
Trump is quoted as having said the most recent talks happened last night with Steve Witkoff and Jared Kushner and their counterparts.
“It’s hard to get any information there because the US is blowing up so much of their infrastructure.”
Trump said Iran still wants to “do a deal badly”, she says.
Trump's claims of 'productive conversations' with Iran spark instant market reaction
The rapid impact Donald Trump’s Truth Social post announcing postponements of strikes on Iran had on the markets was broadcast live on air.
Trump’s disputed claim that the US had “VERY GOOD AND PRODUCTIVE CONVERSATIONS” with Iran, sent the markets into an immediate frenzy on CNBC.
In the moments after Trump’s post went up, Dow Jones futures shot up by 1,100 points, while oil futures plummeted.
“Obviously, the markets reacting with some relief over that,” Becky Quick, co-host of CNBC’s Squawk Box told viewers .
As it happened: How markets responded to Trump announcement
Euro area government bond yields sharply reversed their rise on Monday after Donald Trump said he would order the US military to postpone any strikes against Iranian power plants and energy infrastructure for five days.
Expectations for an end of the Middle East conflict eased inflation fears and saw investors scale back their bets on future European Central Bank rate hikes.
Oil prices fell by over 13% after Trump's remarks.
Money markets priced in a depo rate at 2.69% by year-end EURESTECBM6X7=ICAP, implying two ECB rate hikes and a 75% chance of a third tightening move, from 2.94% earlier in the session, implying 3 hikes and about a 70% chance of a fourth move.
Germany's 10-year government bond yield DE10YT=RR, the euro area's benchmark, was down 3 bps at 3.01%, after hitting 3.077% early in the session, its highest level since June 2011.
Pictured: USS Gerald R Ford returns to Crete following involvement in Iran crisis
Starmer welcomes Trump's postponement of strikes on Iran's energy infrastructure
Sir Keir Starmer has welcomed Donald Trump's announcement of a postponement of strikes on Iran’s energy infrastructure.
Addressing reporters on Monday just minutes after the US president posted to Truth Social, the prime minister’s official spokesman said: “Any reports of productive talks are welcome.
“We have always said that a swift resolution to the war is in global interests and the Strait of Hormuz specifically needs to be reopened.”
Asked whether the UK had been informed about the negotiations or helped co-ordinate them, the spokesman said he would not go beyond an official readout of Sir Keir's call with Mr Trump on Sunday.
He said: “The readout makes clear that they discussed the situation in the Middle East and they discussed, specifically, the Strait of Hormuz.
“It has been something the prime minister has talked about since the beginning of this conflict, that we want to work with the US and international partners to develop a viable plan to safeguard international shipping and see an end to this crisis.”
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