Confusion is mounting in diplomatic circles as the US and Iran send conflicting signals over a potential peace deal. Reports suggest Trump may visit Islamabad to finalise terms, but developments in Washington and Tehran are not aligning. With talks now deepening amid uncertainty, markets and observers are left waiting for clarity that could change the region’s political and economic outlook.
US President Donald Trump said the United States is in a strong position against Iran, arguing that American military actions have significantly weakened Tehran. Posting on Truth Social, he pushed back on media narratives and pointed to Iran’s reported military decline and economic losses, even as fresh diplomatic talks are set to begin.
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The US dollar edged higher to a one-week peak in Asian trade as markets turned cautious after scheduled US-Iran peace talks were reported to have collapsed. Traders linked the move to skepticism surrounding President Donald Trump’s indefinite ceasefire extension announcement, boosting demand for the dollar as a safe haven amid ongoing uncertainty.
Ukrainian President Volodymyr Zelenskyy said a meeting with US President Donald Trump is likely to happen “in the near future,” adding that talks to end the war with Russia are moving without delays. The update follows Zelenskyy’s “good conversation” with US special envoy Steve Witkoff and Trump’s son-in-law Jared Kushner, suggesting momentum in US-led engagement.
Pope Leo XIV called for renewed peace talks between the United States and Iran to end the war, urging de-escalation through diplomacy. In the same remarks, he condemned capital punishment and urged humane treatment of migrants. He also suggested the Church should balance its focus on sexual morality with greater emphasis on justice and freedom as he returned from a trip to Africa.
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