On 'Wednesday, the United States announced that its military had stopped all trade in and out Iran by sea. President Donald Trump also said that talks with Tehran to end the war could resume this week. This sent oil prices lower for a second day.

Trump said that negotiations between U.S. officials and Iranian officials may resume in Pakistan "within the next two days". Vice President JDVance, who was responsible for weekend talks which ended without a breakthrough said he was optimistic about the current situation.

"I think that you will be watching two amazing days," Trump said to ABC News reporter Jonathan Karl. He added that he didn't think it was necessary to extend the two-week ceasefire, which ends on April 21, because they could rebuild. According to a Karl post on X, Trump stated that it could go either way. However, he thought a deal was preferable, because they would be able to rebuild. "They have a completely different regime." We got rid of the radicals, no matter what.

According to officials from Pakistan, Iran, and the Gulf, negotiating teams could also return to Pakistan this week. However, a senior Iranian source stated that no date has been set. The U.S. ban on Iranian ports is causing more vessels to be turned away, despite the optimism. One of these was the U.S. sanctioned, Chinese-owned tanker Rich Starry, which returned to the Strait of Hormuz after leaving the Persian Gulf. Admiral Brad Cooper of the U.S. Central Command said that American forces have 'completely stopped economic trade in and out Iran by sea. He said this fuels 90% the economy of Iran.

Cooper stated in a blog post that the U.S. military had completely halted all economic trade entering and leaving Iran by sea.

The Wall Street Journal reported that the U.S. Military had intercepted 8 oil tankers linked to Iran since the beginning of the blockade Monday.

Return to ISLAMABAD

Trump said in a Tuesday interview with the New York Post that his negotiators are likely to return, thanks to the "great work" Field Marshal Asim Muniz, Pakistan's Army Chief, is doing to moderate the negotiations.

At an event in Georgia on Tuesday, U.S. vice president JD Vance stated that Trump wanted to strike a "grand deal" with Iran, but there was mistrust between both countries.

"You won't solve that problem over night," he said. The diplomatic efforts to resolve the conflict, which began on 28 February, helped calm the oil markets. Benchmark prices fell below $100 on Wednesday for a second consecutive day. The Asian stock market rose, while the safe haven dollar stabilized after falling for seven consecutive sessions overnight.

According to two U.S. government officials, the U.S. will not renew the 30-day waiver of sanctions for Iranian oil at sea, which expires next week. The U.S. also quietly allowed a similar waiver to expire on Russian oil over the weekend. Iran has effectively closed the Strait of Hormuz - a vital global waterway used for the transport of crude oil and gas - and stopped shipments of the?Gulf from global buyers in Asia and Europe. Importers are now scrambling to find alternative supplies. Around 5,000 people are believed to have been killed in the conflict, 3,000 of them in Iran and another 2,000 in Lebanon.

Sticking Points

The Iranian nuclear ambitions were the main sticking point in the weekend discussions. According to sources familiar with the proposals, the U.S. proposed a suspension of Iran's nuclear activities for 20 years. Tehran suggested a three- to five-year pause.

Rafael Grossi, head of the International Atomic Energy Agency (IAEA), said that the length of any ban on Iranian uranium enrichment is a matter of political choice and that Tehran could accept a compromise in the name of a "confidence-building" act.

The U.S. also demanded the removal of any nuclear material enriched in Iran. Meanwhile, Tehran demanded an end to international sanctions.

A source in Pakistan involved in the talks said that back-channel discussions since the weekend have produced progress, bringing both sides closer to an agreement that could be put forward in a new round.

Israel's continued attacks on Lebanon, which targets Hezbollah - a militant group backed by Iran - have complicated the prospects for peace. Iran claims that the ceasefire does cover this campaign, but Israel and the U.S. disagree. On Tuesday, Canada, Japan, the UK and seven other nations condemned the killings by UN peacekeepers and called for an "urgent end to hostilities".

The statement was made after three Indonesian peacekeepers were killed last month. The nations welcomed the ceasefire agreement between the U.S. and Israel. Reporting by Bureaus, Writing by Jack Kim and Editing by Raju Gopikrishnan

(source: Reuters)