Live updates: Trump lifts hopes for war to wind down as Iran denies negotiations

President Donald Trump said that his administration was holding productive talks with Tehran, but fighting showed no signs of slowing and Iran denied there were talks.

The Associated Press reported that Iranian officials said that Trump had backed down “following Iran’s firm warning.”

Relief ripped through financial markets on Monday as oil prices eased following severe losses prior to Trump’s announcement. Markets have experienced vicious swings since the war began because of uncertainty about how long it may last.

RELATED: Oil prices spike as Iran war intensifies: What to know

The Associated Press reported that the death toll has climbed to more than 1,500 people in Iran, over1,000 in Lebanon, 15 in Israel and 13 U.S. military personnel, and a number of civilians on land and sea in the Gulf region. Millions of people in Lebanon and Iran have been displaced.

Here’s the latest from Tuesday: 

US Secretary of State Marco Rubio heads to France to sell the Iran war to skeptical G7 allies

8:05 a.m. ET: The State Department told the Associated Press that Secretary of State Marco Rubio will attend a Group of Seven foreign ministers meeting near Versailles outside of Paris on Friday “to advance key U.S. interests” and “discuss shared security concerns and opportunities for cooperation.”

“Areas of focus will include the Russia-Ukraine war, the situation in the Middle East, and threats across the world to peace and stability,” the agency said.

Nearly all the other G7 nations — Britain, Canada, France, Germany, Italy and Japan — have reacted coolly at best to the U.S.-Israeli military operation against Iran and have declined to participate.

Trump extends deadline for Iran to reopen Strait of Hormuz

Dig deeper:

President Donald Trump extended his deadline for Iran to reopen the Strait of Hormuz on Monday, telling reporters that the U.S. will hold off striking Iranian power plants for five more days to allow U.S. envoys to hold talks with a “respected” Iranian leader, the Associated Press reported. 

Over the weekend, Trump threatened to “obliterate” Iran’s power plants unless the country released its grip on the Strait of Hormuz, through which a fifth of all traded oil passed before the war, within 48 hours. 

That deadline would have expired late Monday, Washington, D.C. time. Trump said his administration has been negotiating “for a long time” with Iran.

“They want peace,” Trump said. “They’ve agreed they will not have a nuclear weapon, you know, etc., etc. but we’ll see.” He said there’s a “very good chance” a deal will be reached this week, crediting his threat to blow up Iranian power plants.

British Prime Minister Keir Starmer indicated he was aware of talks between Iran and the U.S.

“We, the U.K., were aware that was happening,” he said Monday, without giving details.