Zürcher Nachrichten - Iran weighs US offer as Trump says peace talks on 'borderline'

Trump, who said earlier that negotiations were in their "final stages," later warned that the window for diplomacy could close quickly.

"It's right on the borderline, believe me," Trump told reporters at Joint Base Andrews, near Washington. "If we don't get the right answers, it goes very quickly. We're all ready to go."

He said a deal could come "very quickly" or "in a few days," but warned Tehran would have to provide "100 percent good answers."

Iranian foreign ministry spokesman Esmaeil Baqaei said Tehran had "received the points of view of the American side" and was examining them. He repeated Iran's demands for the release of frozen assets and an end to the US blockade of Iranian ports.

Earlier, Tehran's chief negotiator Mohammad Bagher Ghalibaf accused Washington of seeking to restart the war after Trump threatened fresh attacks unless Iran agreed to a deal.

Ghalibaf warned of a "forceful response", while Iran's Revolutionary Guards said any renewed conflict would spread far beyond the Middle East.

"The enemy's movements, both overt and clandestine, show that despite economic and political pressure, it has not abandoned its military objectives and is seeking to start a new war," Ghalibaf said.

- 'Give diplomacy a chance' -

An April 8 ceasefire halted open fighting between Iran and the United States and Israel, but a war of words has replaced the battlefield exchanges.

Trump has repeatedly threatened renewed military action, while Iranian officials have responded with escalating warnings of their own.

The Revolutionary Guards warned Wednesday that if "aggression against Iran is repeated", a future war would spread beyond the region and "our devastating blows will crush you."

Despite the threats and sporadic violence, Pakistan-mediated exchanges have continued in an effort to secure a formal end to the war.

Iran's official IRNA news agency, citing diplomatic sources, said Pakistan's interior minister had arrived in Tehran for his second visit in less than a week.

The cautious hopes rippled quickly through financial markets. Oil prices fell more than five percent Wednesday, while US stocks rose after Trump's suggestion that a deal could be close, though analysts warned investors remained wary after weeks of false starts.

The main US oil contract, WTI, fell below $100 a barrel but remained far above pre-war levels, with the Strait of Hormuz still effectively closed to most shipping.

Saudi Foreign Minister Prince Faisal bin Farhan praised Trump for deciding to "give diplomacy a chance" and urged Iran to seize "the opportunity to avoid the dangerous implications of escalation."

Israel's army chief Eyal Zamir said the military remained at its highest alert level and was "prepared for any development".

- Economic squeeze -

Trump is under political pressure at home as energy costs rise.

The ceasefire halted the fighting but has not reopened the Strait of Hormuz, the vital waterway that normally carries about a fifth of the world's oil and liquefied natural gas.

Iran's Revolutionary Guards navy said it had allowed 26 vessels, including oil tankers, to pass through Hormuz over the previous 24 hours after providing "coordination and security."

The United States has imposed a counter-blockade on Iranian ports. US Central Command said Marines boarded an Iranian-flagged oil tanker in the Gulf of Oman on Wednesday on suspicion it was trying to violate the restrictions.

CENTCOM said the vessel was released after being searched and ordered to alter course. It added that US forces had redirected 91 commercial ships since the blockade began.

The future of Hormuz remains a key sticking point in talks, with fears growing that the global economy will feel more pain as pre-war oil stockpiles run down.

Hormuz also carries around a third of global fertiliser shipments, raising fears of higher food prices and shortages if the closure drags on.

The UN Food and Agriculture Organization warned Wednesday that the closure could trigger "a severe global food price crisis" and a "systemic agrifood shock."

D.Smith--NZN