US President Donald Trump has voiced optimism regarding the prospects for a negotiated peace deal with Iran. This comes as both sides have held their fire for a third consecutive day, marking a pause in the renewed hostilities that have plagued the region since late February.
The recent lull in fighting follows 13 nights of US strikes on Iran, which were sparked by a breakdown in diplomacy over Iran's blockade of the Strait of Hormuz. Despite Tehran denying any ongoing talks with the US to end the conflict, Trump insisted that 'right now, they're talking to us about making a deal' during a speech in Michigan.
Aboard Air Force One, Trump dismissed concerns about dwindling US ammunition stockpiles, asserting that the US has 'a lot of ammunition' and 'more than we could ever use no matter what'. He also warned that if the new diplomatic efforts fail, the US would revert to previous actions.
Meanwhile, Saudi Arabia came under attack on Monday, with its defence ministry intercepting several drones fired by Iran-linked groups in Iraq targeting oil facilities. No group claimed responsibility, but Riyadh called on Baghdad to prevent such attacks from being launched from its territory. Pakistan, which has been mediating a resolution to the Middle East war, condemned the drone attacks, emphasizing the threat they pose to regional peace and stability.
Global stock markets rallied and oil prices tumbled following the pause in strikes between Washington and Tehran. The Strait of Hormuz remains a significant hurdle to any peaceful resolution, with Iran insisting on managing the crucial conduit for oil and gas. Tehran has recently been stopping vessels attempting to transit the trade route, including six that state television said had sailed outside Iran's designated route.