Mediators are still working with the United States and Iran on a possible deal, officials said on Monday. Back-channel talks continue despite sharp public rhetoric.

The effort follows months of tension over Iran’s nuclear programme and regional attacks. US officials have said they want a deal, but on strict terms.

Iran has signalled interest in talks while rejecting pressure. Regional countries, including Gulf states, are involved in the mediation effort.

Diplomats say the Strait of Hormuz remains a key concern. Any conflict in the area could disrupt global oil supplies and push prices higher.

Observers caution that no breakthrough is close. Both sides have deep mistrust, but mediators say keeping channels open is the best way to avoid a wider war. Analysts say any deal would need months of hard bargaining to succeed. For now, both capitals appear to prefer talks to a direct military clash. Gulf states hosting the talks say they will keep pushing both sides toward compromise.