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US stocks rally, oil prices fall as Trump calls off fresh Iran strikes
US says Iran talks continue, will 'unleash hell' if no deal
The White House said Wednesday it was still in talks with Iran despite Tehran reportedly rejecting a US plan to end the war -- but warned President Donald Trump is ready to "unleash hell" if there is no deal.
Iranian state media cited an unidentified official as saying that the Islamic republic had responded "negatively" to the reported overture from Trump as the Middle East war nears the four-week mark.
White House Press Secretary Karoline Leavitt denied that negotiations with Iran had hit a dead end.
"Talks continue. They are productive," Leavitt told a briefing when asked about the Iranian report.
Leavitt said that there were "elements of truth" to media reports on the details of a 15-point US plan setting out demands on Tehran, but said some of the reporting was "not entirely factual."
US and Israeli media said the points involved Iran giving up any right to a nuclear program and agreeing to dismantle its ballistic missile arsenal.
Leavitt declined to say whom the US was dealing with in Tehran following the assassination of supreme leader Ali Khamenei, whose son and successor Mojtaba Khamenei has not been seen in public.
Reports have suggested the Trump administration's interlocutor is Mohammad Bagher Ghalibaf, Iran's speaker of parliament and one of its most prominent non-clerical figures.
The spokeswoman also declined to confirm reports that top US officials including Vice President JD Vance were set to hold talks with the Iranians in Pakistan, which has emerged as a key mediator.
- 'Unleash hell' -
But Leavitt warned that it was time for Iran to make a deal, asserting that Trump was nearing what the White House says are the key US military objectives of "Operation Epic Fury."
"If Iran fails to accept the reality of the current moment, if they fail to understand that they have been defeated militarily and will continue to be, President Trump will ensure they are hit harder than they have ever been hit before," Leavitt said.
"President Trump does not bluff and he is prepared to unleash hell. Iran should not miscalculate again."
Trump is moving thousands of airborne troops and extra marines to the Gulf amid speculation that he might order a ground invasion to either seize Iranian oil assets in the Gulf or secure the strategic Strait of Hormuz.
Iran's speaker Ghalibaf warned on Wednesday on X of the possible invasion of an Iranian island with the support of an unnamed regional country.
The White House meanwhile appeared to stick to the four to six-week timeline it has previously given for the war.
Trump announced Wednesday that his visit to China to meet Xi Jinping had now been rescheduled for mid-May, having postponed it by six weeks to deal with the conflict.
"We've always estimated approximately four to six weeks (for the length of military operations against Iran), so you could do the math on that," Leavitt added.
"President Xi understood that it's very important for the president to be here throughout these combat operations right now."
D.Schneider--BTB