• President Donald Trump issues ultimatum: no nuclear weapons, no deal with Iran.
  • Talks remain stalled as both sides hold firm on key demands.
  • Oil markets on edge amid fears of escalation and supply disruption.

President Donald Trump has drawn a red line in nuclear negotiations with Iran, declaring that there will never be a deal unless Tehran agrees to completely forgo nuclear weapons. The statement, made during a press briefing, underscores the administration's uncompromising stance as diplomatic efforts continue to sputter.

"I'm telling you right now, there will never be a deal with Iran unless they agree to no nuclear weapons," Trump said, reiterating a core demand that has been a sticking point in recent rounds of talks. His remarks come amid reports that technical-level discussions in Vienna have made "good progress" on some issues, according to Iran's foreign minister, but that fundamental disagreements remain unresolved. A person familiar with the matter described the atmosphere as "cautiously optimistic" though no breakthrough is imminent.

The ultimatum follows months of on-again, off-again negotiations, with the US insisting on strict nuclear constraints and Iran demanding full sanctions relief. Trump's hard line has drawn support from hawks in his administration, but critics warn it may scuttle any chance of a diplomatic resolution. "Without a deal, we could be looking at a rapid escalation," said a former US diplomat familiar with the talks, speaking on condition of anonymity.

Market participants are watching closely. The specter of a failed deal and renewed tensions has kept a floor under oil prices, with Brent crude hovering near $78 a barrel on supply concerns tied to potential disruptions in the Strait of Hormuz. Analysts at Goldman Sachs noted in a recent note that "the risk premium embedded in crude is likely to persist as long as diplomatic channels remain blocked."

Efforts to reach the White House for further comment were not immediately successful. Meanwhile, Iran's mission to the United Nations did not respond to a request for comment.

Correction: An earlier version of this article incorrectly stated that negotiations had resumed in Geneva. They are continuing in Vienna.