Sawt Falasteen - Trump announces 'very good' Iran talks denied by Tehran

The surprise disclosure -- denied by Tehran, which accused Trump of manipulating energy markets -- came ahead of a Monday night deadline imposed by Trump for Iran to reopen the Strait of Hormuz shipping lane or see the US "obliterate" its power plants.

Oil prices fell and stock markets jumped as observers scrambled to interpret Trump's statements despite the Iranian denial.

Axios, citing an unnamed Israeli official, identified Trump's interlocutor as Mohammad Bagher Ghalibaf, Iran's speaker of parliament and one of its most prominent non-clerical figures.

But Ghalibaf said on X that "no negotiations" were underway, insisting Trump was seeking "to manipulate the financial and oil markets and escape the quagmire in which the US and Israel are trapped."

Iranian foreign ministry spokesman Esmaeil Baqaei said messages were received from "some friendly countries indicating a US request for negotiations aimed at ending the war", but denied any such talks had taken place, Iran's official IRNA agency reported.

Israeli Prime Minister Benjamin Netanyahu said he had spoken to Trump and acknowledged the US thought a deal was possible, but vowed to continue striking Iran and Lebanon to protect Israel.

"Trump believes there is a chance to leverage the tremendous achievements of the IDF and the US military in order to realize the war's objectives in an agreement -- an agreement that will safeguard our vital interests," he said.

"At the same time, we continue to strike both in Iran and in Lebanon."

Although Oman mediated indirect US-Iran talks prior to the US and Israel launching the war, Egypt, Qatar and Pakistan have been suggested as alternative go-betweens.

- 'Trump blinked' -

On a day of whiplash developments, Iran's neighbors breathed a sigh of relief after Trump stepped back from his threat to target Iranian power infrastructure.

Tehran had vowed to deploy naval mines and target power and water infrastructure across the region in retaliation, threatening to escalate an energy crisis of already historic proportions.

"Trump blinked first -- out of a clear understanding that striking Iran's energy infrastructure would trigger a direct and significant retaliation," Danny Citrinowicz, a security analyst and former Israeli intelligence Iran expert, wrote on X.

Trump said his administration was holding talks with an unidentified "top person," but not the country's supreme leader, Mojtaba Khamenei, who is believed to be injured.

"We've wiped out the leadership phase one, phase two, and largely phase three. But we're dealing with the man who I believe is the most respected and the leader," Trump said.

He described the individual as "very reasonable," while warning if talks failed in the next five days, "we'll just keep bombing our little hearts out."

Thousands of US Marines are headed to the Middle East, reinforcing America's presence amid weekend speculation Trump was mulling ground operations either to seize Iranian oil assets or to forcibly reopen the Strait of Hormuz.

- 'Major threat' to economy -

Since the war erupted, Tehran has retaliated against US-Israeli attacks by throttling traffic through the Strait, a conduit for one-fifth of global crude, and by hitting Gulf energy sites and US embassies as well as targets in Israel.

International Energy Agency chief Fatih Birol warned if the war is protracted, daily oil losses would pave the way for a crisis worse than the combined impact of both 1970s oil shocks and Russia's invasion of Ukraine.

"The global economy is facing a major, major threat today, and I very much hope that this issue will be resolved as soon as possible," he said in Australia.

Oil prices have been driven above $100 a barrel by the conflict, but they tumbled sharply after Trump's announcements, while European stocks rebounded.

International benchmark Brent crude plunged around 12 percent to $98.95 per barrel.

British Prime Minister Keir Starmer told a parliamentary committee that he welcomed "the talks reported between the US and Iran" -- adding London was "aware" of discussions.

Trump said there were already "major points of agreement" with the Iranian negotiators.

US conditions included Iran abandoning any nuclear ambitions and giving up its enriched uranium stockpiles, he said.

Since the war began on February 28, Trump has reiterated his goal of regime change and raised installing a pro-Western figure from inside Iran's governing system.

- Lebanon ground campaign -

Trump has offered shifting timelines and objectives for the war, saying Friday he was considering "winding down" the operation -- only to later threaten Iran's power plants, of which it has more than 90.

Netanyahu has spoken of a long-term campaign against Iran's government, a sponsor of Hamas, which launched the October 7, 2023 attack that triggered the Gaza war.

In Lebanon, Israel has expanded its ground campaign against Iran-backed Hezbollah, warning of "weeks of fighting."

Israel's attacks in Lebanon have killed more than 1,000 people and displaced more than a million, Lebanon's health ministry said.

Israel's army said Monday it captured two Hezbollah members in south Lebanon after they surrendered.

The war has killed at least 3,230 Iranians, including 1,406 civilians, according to the US-based Human Rights Activists News Agency. AFP cannot access strike sites nor independently verify tolls in Iran.

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E.Qaddoumi--SF-PST