Iran Nuclear Talks Resume in Oman With 48-Hour Deadline

United States and Iranian negotiators resumed indirect nuclear talks in Muscat, Oman on Tuesday, with Washington setting a 48-hour deadline for what it called 'substantive progress' on a new framework agreement. European Union mediators are shuttling between the two delegations at the Al Bustan Palace Hotel, in the most intensive diplomatic engagement since the collapse of the JCPOA revival talks in 2023.

Oil markets reacted positively to the resumption of diplomacy, with Brent crude falling 1.8% to $83.20 per barrel as traders priced in reduced supply disruption risk. Iran's oil exports have been severely curtailed since the February escalation, removing an estimated 1.5 million barrels per day from global markets. A deal framework could potentially return significant Iranian supply by late 2026.

Gulf stock markets rallied broadly on de-escalation hopes. Dubai's DFM index surged 2.1% while the Abu Dhabi ADX gained 1.4%, with regional airline and tourism stocks leading the advance. Emirates, Etihad-linked stocks, and hotel operators posted gains of 3-5%. However, defense and security stocks declined as investors rotated away from conflict beneficiaries. Analysts cautioned that the 48-hour timeline is extremely ambitious and that significant gaps remain between US and Iranian positions on enrichment limits and sanctions relief sequencing.