Trump says US and Tehran having 'good talks' as drones hit Iran's neighbours

President Trump claims the U.S. is in 'good talks' with Iran, despite ongoing drone attacks against Saudi Arabia and other neighbors. Both sides appear to be balancing diplomatic rhetoric with continued regional military posturing.
Why it matters
Illustrates the volatile nature of U.S.-Iran relations and the difficulty of maintaining ceasefires in proxy-heavy conflicts.
WASHINGTON/DUBAI, July 27 (Reuters) - President Donald Trump said on Monday the United States was having "good talks" with Iran and there was a chance of a deal over their conflict, but he warned that U.S. strikes would resume if the negotiations failed to deliver.
Despite Trump's optimism, Tehran appeared to quickly test the pause in the U.S. military campaign, with Saudi Arabia, Jordan and Iraq reporting drone attacks on Monday.
Washington abruptly suspended a two-week campaign of air strikes on Iran on Saturday in Trump's latest strategic U-turn in the five-month-old conflict.
"We're having good talks," he said. "I think there's a good chance that something could happen, and if it does, good, if it doesn't, we go back to doing what we were doing two days ago."
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