US and Iran quietly engage in talks but breakthrough proves elusive

US and Iran are holding discreet talks in New York to bridge their differences following a seven-month conflict, according to sources familiar with the matter. Despite speculation about potential breakthroughs, US President Donald Trump has firmly denied offering Iran anything in exchange for ending the war. He clarified that he was willing to release Iranian funds as part of a deal, contingent upon Iran demonstrating progress on the nuclear issue.

The talks have focused on two key issues: reopening the Strait of Hormuz and Iran's nuclear program. Iran may have softened its stance on these matters, potentially opening the strait and transferring its uranium stockpile enriched to 60% to a third country in exchange for a relaxation of the US blockade and the release of frozen funds. Iran has proposed a seven-day plan to resolve the dispute over Hormuz, with the waterway expected to reopen on the sixth day if the conditions are met.

Iranian Foreign Minister Abbas Araghchi revealed the plan to the UN, emphasizing that the Iranian stockpile would first need to be diluted before transfer. While Iran has previously suggested handing the enriched uranium to Russia, the US sources indicate that Trump wants the US to take possession, along with a precise timeline for the transfer. No official confirmation has been provided by either the Trump administration or Iran regarding the new details discussed in New York.

Tehran's President Masoud Pezeshkian expressed readiness for talks on nuclear and other issues, but warned against "bullying or coercion." He reiterated Iran's commitment to not developing nuclear weapons, only seeking a civilian nuclear program. US and Iranian officials have been separately meeting with mediators to facilitate renewed efforts to end the conflict, with both sides awaiting the final views of the mediators before making a decision.

The ongoing war, initiated by the US alongside Israel in February, has resulted in thousands of casualties, disrupted global energy supplies, and driven up oil prices and inflation. Iran and its allies have extended the conflict to neighboring regions, striking Arab neighbors with drones and missiles, while Houthi rebels in Yemen have targeted Saudi interests.