Diplomatic channels between the United States and Iran remain active following a temporary two-week ceasefire announced in early April 2026 after initial U.S. and Israeli strikes on Iranian targets began in late February. President Trump has repeatedly rejected Iranian counterproposals on nuclear limits, sanctions relief, and control of the Strait of Hormuz, while Tehran insists on reparations and sovereignty guarantees before further talks. Congressional authority under the Constitution has not been invoked for a formal declaration, and current military operations continue without crossing that threshold. Traders are monitoring upcoming negotiation rounds and any escalation signals from either side that could shift the trajectory toward or away from official war authorization.