Iranian rial hits new record low as diplomatic talks intensify

The Iranian rial reached a new record low of roughly 2.2 million to the U.S. dollar, marking its steepest decline since the conflict began in February. The drop follows a previous record set 27 days earlier and reflects the impact of a U.S. naval blockade on Iranian oil and additional sanctions imposed since the war’s onset.

Foreign Minister Abbas Araghchi told Iranian media that the focus of current diplomatic efforts is the Strait of Hormuz. He said Qatari intermediaries are expected to raise the issue with the United States again and that any American response will be relayed to Tehran for a decision.

"They are set to raise the matter with the American side once more, after which the final U.S. response will be conveyed to us," Araghchi said.

U.S. officials have confirmed that mediators are working with both sides to negotiate an end to the fighting and to reopen the strategic waterway. The talks continue after President Donald Trump rejected an Iranian proposal that linked reopening the strait to the lifting of the blockade, release of frozen assets and a waiver of oil sanctions.

The Iranian Revolutionary Guard Corps spokesman, Gen. Hossein Mohebbi, appealed to the American public to pressure their government to end the conflict, stating that the war could only conclude if the United States withdrew from the region.

"This is how the war will end," Mohebbi said.

U.S. Secretary of State Marco Rubio, speaking on a television program, warned that Iran is moving toward an economic "cataclysm" and emphasized that sanctions and the blockade are intended to cut off funding for weapons programs.

"When you’re denying them money through oil sales and sanctions, you’re not just punishing them. You are preventing them from getting access to money that they will use to try and kill Americans and others around the world and their own people," Rubio said.

The currency’s collapse and the heightened diplomatic activity underscore the escalating economic pressure on Iran and the ongoing international efforts to resolve the dispute over the Strait of Hormuz.