US-Iran talks may resume in Islamabad within two days

U.S. President Donald Trump said on Tuesday that peace talks between the United States and Iran could restart within the next two days in Islamabad, Pakistan. The comments came after ceasefire discussions held over the weekend ended without a final agreement.

Trump pointed to Pakistan’s army chief, Field Marshal Asim Munir, as a key mediator in the process. He said Munir’s involvement makes additional negotiations more likely, framing Pakistan as a potential venue and facilitator for the next phase of diplomacy.

The weekend talks ran for 21 hours before breaking off. They ended when U.S. Vice President JD Vance withdrew, citing Iran’s failure to provide an affirmative commitment that it would not pursue nuclear weapons.

Reports described a central dispute over uranium enrichment. The United States was said to be seeking a 20-year suspension of Iran’s uranium enrichment, while Iran reportedly proposed a moratorium lasting less than 10 years.

After the talks concluded without a definitive outcome, Trump announced a U.S. naval blockade targeting ships that use Iranian ports in the Gulf. The measure was presented as a way to increase economic pressure on Iran following the stalled negotiations.

The U.S. move came against the backdrop of Iran’s near-total closure of the Strait of Hormuz, a major route for global oil and liquefied natural gas shipments. The disruption had pushed crude prices above $100 per barrel, underscoring how quickly regional tensions can transmit into global energy markets.

Following reports that talks could resume, oil prices eased to about $95. The price shift highlighted how expectations around diplomacy and maritime access can influence market sentiment, particularly for energy-importing economies and industries exposed to fuel costs.

Key uncertainties remain, including whether the parties can bridge the gap on enrichment terms and whether the proposed Islamabad meeting will occur within the stated timeframe. It is also unclear how long the U.S. naval blockade will remain in place and how it will interact with conditions around the Strait of Hormuz.