Iran proposes 7-day ceasefire as US and Iran exchange offers at UN talks

Iran Peace Deal Analysis for September 25, 2026

Iran proposed a new seven-day ceasefire on Friday. This follows earlier offers of a 60-day regional pause and phased reopening of the Strait of Hormuz. US envoy Steve Witkoff and Iranian Foreign Minister Abbas Araghchi held direct talks at the UN General Assembly in New York this week.

Both governments are now using back-channel diplomacy instead of military strikes. US stock indexes surged Thursday on news of phased talks. But Iran and the US remain far apart on terms. Trump threatened to "annihilate" Iran at the UN on Tuesday. Fresh artillery exchanges happened over the past week. Iran's leadership says it will not surrender and frames US pressure as a sign of weakness. The two sides have not moved on core disputes that froze talks in June.

Iran is waiting for a US response to its seven-day plan. Trump's team could reply with a concrete counter-offer or dismiss the proposals as theater and demand a return to June's ceasefire terms. Oil markets are betting on movement. Gulf states are managing the blockade but costs are rising. The US midterm elections in November are approaching, and Trump has suggested they will shift the diplomatic situation.