Main developments
Donald Trump has further extended the deadline for the US to bomb Iran’s energy infrastructure to April 6.
The US president’s message, delivered in a social media post, came after Wall Street stocks closed at a six-month low as traders worried Trump’s initial Friday deadline was looming with few signs of a breakthrough.
Similarly, Eurozone bond markets suffered their biggest one-day drop in a year, and US Treasuries fell, on fading hopes for a speedy end to the Middle East war.
Brent crude, the oil benchmark, jumped the most in a fortnight, settling 5.7 per cent higher at $108.01 a barrel.
At the first cabinet meeting since the war began, Trump said earlier on Thursday that the market reaction to the conflict had not been “nearly as severe as I thought”.
The US president repeated his claim that Tehran was “begging to make a deal”, but warned he was not sure he would be able to reach an agreement.
Iran has delivered its response to the US peace plan, and unveiled its own counterproposals including asserting sovereignty over the Strait of Hormuz, according to an official quoted by state media.
Other Iranian demands include an end to assassinations, guarantees that the conflict would not restart and reparations for the war.
Trump earlier urged Iran to “get serious” about striking a deal to end the four-week conflict “before it is too late”.
Military strikes continued. Israel said it had killed the head of the Revolutionary Guards’ navy.
Trump says Iran asked for 7-day extension for peace deal
Donald Trump said Iran asked Washington for a seven-day extension to his deadline for a peace deal.
“They said to me, very nicely, through my people, could we have more time, because we are talking about tomorrow night, which is pretty quick,” the US president told Fox News in a phone interview on Thursday evening.
“They asked for seven and I said I am going to give you 10 because they gave me ships.”
Trump described the ongoing negotiations as “productive”, adding: “We are speaking, and it’s going fairly well.”
Iran’s foreign minister reiterates ‘legal right’ to block strait in call with UN chief
Iran’s foreign minister held a phone call with the head of the UN on Thursday, in which Tehran reiterated its “legal right” to block the Strait of Hormuz.
Abbas Araghchi also criticised others for calling on Iran to stop the war, and urged the UN to condemn its commencement by the US and Israel.
António Guterres, the UN’s secretary-general, said Jean Arnault had been appointed as the organisation’s Middle East representative with the aim of “directly communicating with Iranian officials” in order to resolve the conflict.