US President Donald Trump said on Sunday that he expects another round of talks with Iran this week, a day after rejecting Tehran's latest truce proposal. He made the remarks in a phone interview with Axios.

Iran's offer, delivered by Foreign Minister Abbas Araghchi on the sidelines of the UN General Assembly in New York, proposed reopening the Strait of Hormuz and resuming nuclear talks within a week. In return, Tehran wanted Washington to lift its naval blockade, ease sanctions on Iranian oil sales and restore a regional ceasefire.

Trump rejected the proposal on Saturday, saying Iran had "overplayed their hand" and was "losing so badly." Axios reported, citing regional sources, that indirect talks mediated by Qatar could begin as early as Monday. US envoys Steve Witkoff and Jared Kushner held indirect talks with Araghchi in New York last week.

Araghchi told NBC's Meet the Press that Iran remains open to diplomacy and is waiting for an official US response through mediators. Asked whether he might resume strikes on Iran, Trump said, "I am always thinking about it." Oil prices rose more than 1% on Monday as traders weighed the risk of fresh escalation against the prospect of new talks.