Iran News wrap (via @newsquawk) Iran reversed the brief reopening of the Strait of Hormuz and said the waterway had returned to “strict control” after accusing the US of not meeting its obligations and refusing to lift the blockade on Iranian ports, with at least three attacks reported on commercial ships following the re-closure, including Iranian gunboats firing on a tanker and an attack on a cargo vessel near the strait that damaged containers on board. US President Trump said on Saturday that Iran got “a little cute” by closing the Strait again, but added there were still “very good conversations” going on. US President Trump announced on Sunday an Iranian-flagged cargo ship named TOUSKA tried to get past the US naval blockade, but the Navy Guided Missile Destroyer USS SPRUANCE intercepted it in the Gulf of Oman and gave a warning to stop. The Iranian crew refused, after which the US Navy ship disabled the vessel by blowing a hole in the engine room. Trump added that US Marines have custody of the vessel, and they are seeing what’s on board. It was separately reported that Mehr News Agency claimed US forces fired on an Iranian merchant ship to force it to return to territorial waters, but were then forced to flee after the rapid response of IRGC naval units. US President Trump posted on Sunday that “Iran decided to fire bullets yesterday in the Strait of Hormuz – A Total Violation of our Ceasefire Agreement!”, while Trump stated that his representatives are going to Islamabad and will be there on Monday evening for negotiations. US President Trump said VP JD Vance, Special Envoy Witkoff and Jared Kushner will head to Islamabad, Pakistan, for fresh talks with Iran, and will arrive on Monday evening, according to a White House official. A US senior official said that if there is no breakthrough soon, the Iran war could resume in the coming days, and that the situation with Iran is at a critical point. Pakistan Army Chief Munir spoke to President Trump and told him that the Hormuz blockade is a hurdle to talks, according to a Pakistani security source cited by Reuters; Trump reportedly told Munir that he would consider his advice. Iran will send a delegation to a second round of talks with the US despite the latest escalation in the Strait of Hormuz, Anadolu Agency reported, citing two Pakistani sources. Pakistani Journalist Mallick posted "To my understanding, regardless of the statements and posturing, the second round of talks in Islamabad are to go ahead as per schedule and what is that schedule, only the parties know about the exact schedule." Iran parliament's national security and foreign policy commission head said the decision has been made to continue talks with US, but this does not mean negotiation at any cost; delegation may travel to Pakistan if positive signals received from the US Pakistan has intensified diplomatic contacts since Sunday with Washington and Tehran to ensure talks proceed as soon as Tuesday, AP reported. Iranian Foreign Ministry Spokesperson said no decision has been made regarding participation in the new round of negotiations, Al Araby reported; the past week witnessed numerous diplomatic developments focused on negotiations to end the war. He further said that if the US or Israel launches new aggression, Iran’s armed forces will respond accordingly; Tehran has not received any serious offer regarding lifting sanctions on it. Iranian lawmaker said he doesn’t expect any deal with the US and believes even if there is a ceasefire, it won’t last. Iran’s Supreme Leader said Iran’s navy is ready to inflict “new bitter defeats” on its enemies. Iranian Vice President Mohammad Reza Aref said the security of the Strait of Hormuz is not free, while he added it is impossible to restrict Iranian oil exports and, at the same time, pretend to provide free protection to others. Furthermore, he said "The choice is clear: either a free oil market for all, or risk incurring enormous costs that will affect everyone". Iran’s Deputy Foreign Minister said there will be no further in-person peace talks with the US until Washington changes its “maximalist” demands, while the official added Iran would not hand over its enriched uranium to the US. Furthermore, IRNA also reported that Tehran has not agreed to participate in a second round of talks. Iran’s Security Council said it is reviewing proposals made by the US in recent days, and Iran is determined to maintain control of the Strait of Hormuz until the war ends, while it was stated that Iran will not reopen the Strait as long as the US blockade of Iranian ports is in place. Iranian senior official said that significant differences remained between Iran and the US, including on nuclear issues and that serious talks are required, according to a report on Friday. Iranian Harat Khatam Al-Anbiya Central HQ spokesperson said the US attack on the Iranian commercial ship violates the ceasefire, and warned Iran will soon respond and retaliate to this armed piracy. Iranian sources told CNN that the Iranian delegation is expected to arrive in Pakistan on Tuesday, according to Al Hadath. Iran has yet to agree to another round of talks with the US, according to Iranian press. It was also reported that Iran’s Deputy Foreign Minister said Iran will respond with full force if they return to war, while Iranian state media separately reported on Sunday evening that Tehran was not currently planning to take part in new talks with the US. Iranian source said given US President Trump’s remarks about talks and the contradiction with what is actually unfolding between Iran and the US, they believe they are facing trickery by the adversary and are on the brink of a fresh wave of escalation, according to Al Jazeera. Iranian senior official denied US President Trump’s claims and said that Iran did not agree to halt uranium enrichment indefinitely, while they will not accept being an exception to international law. Pakistani media sources said gaps between the US and Iran have been narrowed in recent days, according to Al Hadath. More than 20 vessels passed the Strait of Hormuz on Saturday, which is the highest number since March 1st, according to Kpler data. It was separately reported that an Iranian oil tanker broke through the US blockade and entered Iranian waters, according to CCTV. N13 reported, citing an Israeli senior official, that Israel has a "red line" related to ballistic missiles; should Iran cross this red line, then Israel has no choice but to respond. IDF confirmed it carried out the first strikes against Hezbollah since the ceasefire and that the strikes were against Hezbollah operatives who violated the ceasefire understandings. UAE opened talks with the US about obtaining a financial backstop in case the Iran war plunges it into a deeper crisis, according to US officials cited by WSJ. Furthermore, it was reported that UAE informed Washington it will be forced to sell its oil in yuan if it is not supplied with enough dollars.(zerohedge)