Iran Signals Willingness to Resolve Conflict with Israel and the US Under Conditions

Iran's President Masoud Pezeshkian has indicated a willingness to end the conflict with Israel and the US, but only under strict conditions. These include halting military actions and ensuring future security guarantees. However, Foreign Minister Abbas Araghchi has taken a tougher stance, rejecting a ceasefire and emphasizing the need for a complete end to hostilities. Market reactions have been significant, with oil prices dropping and stock indices rising, reflecting investor optimism despite the mixed messages from Tehran. This situation highlights the complexities of international relations in the region and the potential for future negotiations.

By Narendra Chaudhary Apr 1, 2026, 00:11 IST

Iran's Conditions for Peace

Masoud Pezeshkian, the President of Iran, has expressed Tehran's readiness to conclude the ongoing hostilities with Israel and the United States, contingent upon specific conditions being met. During a conversation with the President of the European Council on Tuesday, Pezeshkian emphasized that Iran possesses the “necessary will” to cease the conflict, provided there are guarantees to avert any future aggression. This stance reiterates a significant demand from Iran's leadership.

The conditions, which were initially presented on March 25 and remain unchanged, include a complete cessation of US and Israeli military actions against Iran, as well as an end to hostilities involving Iran-aligned groups throughout the Middle East. Iran is also seeking solid assurances against future attacks, along with mechanisms to enforce these guarantees. Furthermore, Tehran demands compensation for war damages and reparations, in addition to international acknowledgment of its sovereign rights over the Strait of Hormuz.

However, there seems to be a discrepancy in Iran's messaging. In an interview with Al Jazeera, Foreign Minister Abbas Araghchi adopted a more hardline approach, dismissing the notion of a ceasefire and asserting that Iran would only agree to a complete cessation of hostilities in the region, rather than a temporary halt.

Araghchi also noted that Iran has not yet responded to the US's reported 15-point proposal and has not put forth any counter-conditions. While he confirmed that communications have taken place with Washington, either directly or through regional intermediaries, he clarified that these do not amount to formal negotiations. According to him, all communications are managed through the Foreign Ministry under the oversight of the National Security Council, and Iran is cautious about engaging in discussions with the US.

Despite the mixed signals, markets reacted strongly to reports from Iran's state news agency indicating a willingness to end the conflict. Oil prices experienced a swift drop, while the S&P 500 reached session highs and the US dollar weakened. The Dow Jones Industrial Average surged by 1,004 points, or 2.2%, after briefly exceeding a 1,100-point increase during the session. The S&P 500 rose by 2.5%, and the Nasdaq Composite climbed by 3.4%, reflecting heightened investor optimism. Concurrently, oil prices fell sharply, the US dollar weakened, and Treasury yields fluctuated, highlighting the sensitivity of global markets to any signs of de-escalation in the conflict.