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Iran-U.S. Nuclear Talks Remain Unresolved as Strait of Hormuz Risks Keep Markets on Edge 
Tensions between the United States and Iran have reached a dangerous new peak following the downing of a U.S. F-15E fighter jet over Iranian territory — the first time Tehran has shot down an American aircraft since the conflict began on February 28. One crew member has been rescued, while search-and-rescue teams, including an HC-130 and two HH-60 helicopters, continue efforts to locate the second. A separate U.S. Air Force aircraft also crashed in the Persian Gulf the same day, though its pilot was safely recovered.
President Donald Trump, speaking in an NBC News interview, declined to elaborate on the ongoing rescue mission, calling it highly sensitive. When asked whether the incident would disrupt diplomatic efforts, Trump was direct: "No, not at all. No, it's war. We're in war." He is scheduled to meet NATO Secretary-General Mark Rutte in Washington on Wednesday.
Ceasefire negotiations have effectively collapsed. A Pakistan-led mediation effort fell apart after Iran rejected U.S. demands and refused to send officials to Islamabad. Turkey and Egypt are now exploring alternative venues — including Doha and Istanbul — to restart dialogue. Trump had previously indicated openness to a ceasefire if Iran reopened the Strait of Hormuz, but Iran countered with sweeping conditions, including American troop withdrawal from the Middle East and war reparations.
On the ground, Iran is ramping up military preparations in anticipation of a potential U.S. ground operation. Following Trump's deployment of Marines and Airborne troops to the region, Tehran is reinforcing key energy sites like Kharg Island, expanding coastal defenses, laying sea mines, and deploying wire-guided drones. Iran has also warned that any ground assault could trigger broader strikes on Gulf infrastructure, including oil platforms and desalination facilities. Domestic recruitment drives, echoing the Iran-Iraq war era, signal preparation for a prolonged conflict.
