Iranian media are reporting that a deal may not be reached amid disagreements on some key issues.

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What's the long-term global impact of the war on Iran?

United States President Donald Trump has told his representatives not to rush into any deal with Iran, as his administration played down hopes of an imminent breakthrough in the three-month-old war that had been raised a day earlier.

The US blockade on Iranian ships in the Strait of Hormuz would “remain in full force and effect until an agreement is reached, certified, and signed”, Trump wrote on Truth Social a day after he said a deal had “largely been negotiated”, which included the reopening of the vital waterway.

There was no immediate response from the Iranian government. However, the Tasnim news agency, which is linked to the Islamic Revolutionary Guard Corps (IRGC), said the US was still obstructing parts of a potential deal, including Tehran’s demand for the release of frozen funds.

The two sides remain at odds on several difficult issues, such as Iran’s nuclear ambitions, Israel’s war in Lebanon and the lifting of sanctions on Tehran and the release of its frozen foreign assets worth billions of dollars.

As the war enters its 87th day on Monday, here is what is happening: