Iran and the United States exchanged written texts Saturday in Islamabad after hours of in-person expert-level negotiations at the Serena Hotel, with a third round of talks under way as of latest reports. The talks occur within a two-week ceasefire in the US-Israeli war against Iran, a conflict that began with US-Israeli attacks on February 28 and spread across the Middle East before Pakistan brokered a temporary halt on April 8. The US delegation is led by Vice President JD Vance, accompanied by Jared Kushner and Middle East envoy Steve Witkoff; Iran's side is led by Parliament Speaker Mohammad Bagher Ghalibaf and Foreign Minister Abbas Araghchi, along with Supreme National Defence Council Secretary Ali Akbar Ahmadian and central bank governor Abdolnaser Hemmati. Substantive gaps remain wide: Washington seeks limits on Iranian nuclear enrichment and removal of nuclear material, while Tehran demands full sanctions relief, recognition of nuclear rights, access to roughly $7 billion in frozen assets, and a navigation framework for the Strait of Hormuz. Iran also insists any ceasefire cover Lebanon and Hezbollah, a position the US and Israel have resisted. Pakistan's Prime Minister Shehbaz Sharif met both delegations separately, framing Islamabad's role as active mediator. Officials and analysts consider a breakthrough within this two-day engagement unlikely, placing expectations on establishing a pathway for sustained talks rather than concrete agreements.
Qatar's foreign ministry said mediators including Qatar, Pakistan, and Oman have reached "very progressive stages" in efforts to end the US-Iran war, pushing Brent crude down more than four percent.
Qatar confirmed it is mediating between the US and Iran but said no direct talks are currently planned. The clarification follows conflicting statements from President Trump, who claimed talks are under way, and Tehran, which denied any dialogue is happening.
Saudi Aramco reported sharply higher second-quarter 2026 profits as the Iran war restricts global oil supply and pushes crude prices up. Other oil supermajors also posted outsized earnings, raising concerns about sustained fuel cost pressure for importing economies.
President Trump called current Iran negotiations the "last chance" to end five months of conflict, pushing oil prices higher. Tehran denied formal talks are taking place, raising the risk of a diplomatic breakdown with direct consequences for global energy markets.