Pronounced Dead, Still Breathing: US-Iran Ceasefire Falters While Gulf Diplomacy Gains Ground

A tense lull settled over the Gulf on Friday after two days of heavy US-Iran strikes , even as Donald Trump insisted Washington still considers the ceasefire dead. In a Truth Social post, the US President wrote that " the Islamic Republic of Iran has asked us to continue 'talks.' We have agreed to do so, " but added that Washington had told Tehran " in no uncertain terms " that the truce is " OVER ." A US official told CNN American forces were not currently carrying out strikes, and Israeli officials said they had no involvement in any fresh action against Iran.

Behind the scenes, diplomacy quietly resumed: Qatari negotiators , coordinating with Washington, travelled to Iran to meet officials, even as Iranian state media reported overnight strikes near the port town of Asaluyeh , close to the South Pars gas field , one of the world's largest natural gas reserves, with damage reported at a fishing harbour in Bonod . In a striking new twist, Israel shared intelligence with the US alleging that Tehran had devised a fresh plot to assassinate Trump , sources told CNN , adding another layer of danger to an already fraught standoff.

Iran's political transition remained clouded in uncertainty. Mojtaba Khamenei , who succeeded his father Ayatollah Ali Khamenei as Supreme Leader, did not make any public appearance throughout the funeral proceedings that concluded with burial in Mashhad , fuelling speculation among analysts about the timing of his formal assumption of power. Iran's top negotiator Mohammad Baqer Qalibaf reiterated Tehran's hard line, writing on X that " the Strait of Hormuz will be reopened only under Iranian arrangements, not through US threats. "

Elsewhere, Trump's late Thursday call with Israeli Prime Minister Benjamin Netanyahu exposed friction over Turkey : Netanyahu pressed concerns about President Recep Tayyip Erdogan's rhetoric against Israel and reportedly urged Trump against approving a proposed F-35 fighter jet sale to Ankara, warning it could endanger Israel.

Markets, meanwhile, took the developments in stride. World shares climbed broadly on Friday while oil prices eased back , according to AP , extending a pattern of relative calm even as the region's diplomatic and military tracks moved in opposite directions. Traders said the market appeared to be betting that the current flare-up, unlike earlier ones this year, would stay contained short of a full return to war — though few were willing to rule out further shocks with talks yet to formally resume.