Iran denies US negotiations as missiles hit Israel, with markets volatile and Pakistan offering to host potential talks.
WASHINGTON/JERUSALEM/TEL AVIV: Iran launched multiple waves of missiles at Israel, triggering air raid sirens in Tel Aviv and damaging homes in the north with falling debris from interceptions.
The attacks followed US President Donald Trump’s announcement that he was postponing planned strikes on Iran’s power plants for five days due to “very good and productive” talks on a “complete and total resolution of hostilities”.
Iranian officials swiftly dismissed Trump’s claims as “fakenews” designed to manipulate financial markets.
Powerful parliament speaker Mohammad Baqer Qalibaf stated no negotiations had been held with the US.
Iran’s elite Revolutionary Guards described Trump’s words as ineffective “psychological operations” and vowed fresh attacks on US targets.
Global markets slammed into reverse, erasing a brief relief rally that had sent oil prices below USD 100 a barrel.
Brent crude futures subsequently rose 4.2% to USD 104.21, while US crude increased 4.3% to USD 91.93 per barrel.
“The underlying situation is still incredibly fragile or flammable,” said IG market analyst Tony Sycamore.
Trump told reporters his envoys had held discussions with a top Iranian official and had reached “major points of agreement”.
A European official said there had been no direct US-Iran talks, but messages were being relayed through Egypt, Pakistan and Gulf states.
A Pakistani official and another source told Reuters that direct talks could be held in Islamabad as soon as this week.
They said US Vice President JD Vance and Trump’s envoys were expected to meet Iranian officials there following a call between Trump and Pakistan’s army chief.
“If the parties desire, Islamabad is always willing to host talks,” said Pakistani foreign ministry spokesman Tahir Andrabi.
Iran’s foreign ministry described initiatives to reduce tensions but did not confirm the alleged negotiations.
It said Iran’s foreign minister had reviewed developments related to the Strait of Hormuz with his Omani counterpart.
Iran has effectively closed the strait, a conduit for 20% of the world’s oil and LNG, since the US-Israel war began on February 28.
More than 2,000 people have been killed in the conflict.
