President Donald Trump announced on Monday that, following talks with Iranian authorities, he ordered the US military to postpone strikes on Iran's power plants and energy infrastructure for five days. The announcement came as markets braced for major escalation; Trump had issued a 48-hour ultimatum to Tehran on Saturday to reopen the Strait of Hormuz or face strikes on Iran's power plants.
In his statement, Trump painted a picture of productive diplomacy. He told CNBC in a phone call that "we are very intent on making a deal with Iran." Speaking to reporters in Palm Beach, Florida, Trump said his son-in-law Jared Kushner and US special envoy Steve Witkoff participated in talks Sunday evening with "a top person" in Iran. Trump claimed Iran had committed not to pursue nuclear weapons or enrich uranium, and to hand over existing stockpiles, and also agreed to reopen the Strait of Hormuz.
However, Iran's response was swift and categorical denial. Iranian state media, citing an unnamed "senior security official," disputed Trump's description of conversations, saying direct or indirect talks have not taken place between Washington and Tehran, and stating "there is been no negotiation and there is no negotiation, and with this kind of psychological warfare, neither the Strait of Hormuz will return to its pre-war conditions nor will there be peace in the energy markets." Iranian Parliament Speaker Mohammad Bagher Ghalibaf said "no negotiations have been held with the US", accusing Trump of trying to "manipulate the financial and oil markets and escape the quagmire in which the US and Israel are trapped."
The gap between Trump's claims and Iran's denials raises fundamental questions about what, if anything, is actually happening diplomatically. A source with knowledge of the discussions said there did not appear to have been any direct talks yet between Ghalibaf and Trump's team. Egypt, Pakistan and Turkey had passed messages between the US and Iran on Sunday and were attempting to set up a call between Ghalibaf and Trump's team. This suggests the US may be in contact with Iran through intermediaries rather than direct channels, yet Trump publicly described the contacts as substantive talks.
The credibility issue cuts both ways. Trump declined to name his Iranian counterpart, citing safety concerns; he claimed the US and Iran were aligned on many key issues but did not want to get the Iranian official killed. Tehran's blanket denial is harder to square with reports of quiet diplomatic activity. Foreign Ministry spokesman Esmaeil Baghaei said "messages have been received from some friendly countries regarding the US's request for negotiations to end the war." This admission of indirect communication seems inconsistent with claiming no talks whatsoever.
The timing and market implications add another layer of suspicion. The global energy crisis stemming from the war is worse than the global oil shocks of the 1970s, according to the International Energy Agency, with the world having lost 11 million barrels per day of oil, more than two major oil shocks combined. Iranian media claimed Trump aims to buy time for US military plans and reduce energy prices. Trump's sudden pivot to negotiation after issuing an ultimatum naturally invites scepticism about his motives.
Yet it would be premature to dismiss the possibility of quiet diplomacy entirely. According to a source, "On Sunday, there was readiness from the two sides to start talking. The Iranians were forthcoming, and the Americans wanted to move as well because of the markets and the oil prices." Regional powers are actively engaged in mediation. Omani Foreign Minister Badr Al Busaidi, a key mediator in the US-Iran nuclear talks that preceded the war, said the conflict is "causing widespread economic problems" and that he fears they will get "much worse" if the war continues.
The next five days will test whether this pause represents genuine diplomacy or merely theatre designed to calm markets and international opinion. Trump said that if the five-day halt in strikes goes well, the parties could end up "settling this." What remains clear is that neither side has yet publicly acknowledged meaningful direct contact, and that fundamental gaps remain. The claim of progress announced in Washington finds no echo in Tehran's official statements, leaving Australia and other nations dependent on global energy supplies waiting to see whether either side will shift from rhetoric to substance.