By Micah Jonah
February 17, 2026
A crucial second round of nuclear negotiations between the United States and Iran is set to begin today in Geneva, Switzerland, amid heightened military tensions and economic pressure on Tehran.
The talks, holding at the Omani Embassy, are being mediated by Oman’s Foreign Minister, Badr bin Hamad al-Busaidi. Iran’s Foreign Minister, Abbas Araghchi, will represent Tehran, while the United States delegation includes Middle East envoy, Steve Witkoff and Jared Kushner, son-in-law of President Donald Trump.
President Trump confirmed he would be “indirectly involved” in the discussions, describing Iran as a “tough negotiator” and warning that the consequences of failing to reach a deal would be severe.
Economic Pressure Mounts:
Iran’s economy has been under intense strain. In January, the Iranian rial crashed to 1.5 million to the US dollar, compared to about 700,000 a year earlier. The sharp depreciation has triggered soaring inflation, with food prices rising by an average of 72 percent year-on-year.
Trump has reinstated his “maximum pressure” campaign against Iran, threatening a 25 percent tariff on countries doing business with Tehran. Analysts say the currency crisis has increased pressure on Iran’s leadership to secure sanctions relief.
Oil Markets Watching Closely:
Global oil markets are closely monitoring the talks. Brent crude dipped slightly to $68.59 per barrel, while US West Texas Intermediate (WTI) rose to $63.73.
Iran remains one of the world’s major crude oil producers, and any disruption linked to the negotiations could significantly affect global supply.
Red Lines on Both Sides:
Washington is demanding that Iran completely halt uranium enrichment, dismantle its enrichment infrastructure, limit its ballistic missile programme, and stop supporting allied armed groups in the Middle East.
However, Tehran has insisted it will only negotiate on nuclear matters aimed at lifting sanctions, refusing to discuss its missile programme or regional alliances. Iranian officials have also demanded an end to US threats of military action.
Military Drills Raise Stakes:
Meanwhile, Iran’s Islamic Revolutionary Guard Corps (IRGC) has launched naval drills in the Strait of Hormuz, describing the strategic waterway as the country’s “lifeline.” The exercises involve missile operations and drone manoeuvres.
The first round of talks held earlier this month in Muscat, Oman, ended without a breakthrough, though both sides described the discussions as constructive.
With tensions high, global markets watching, today’s meeting in Geneva is seen as a critical moment in determining whether diplomacy can prevent further escalation between the two long-time rivals.
