ISLAMABAD — The United States and Iran failed to reach a peace deal after marathon negotiations in Islamabad on Sunday, collapsing talks that had been brokered by Pakistan during a two-week ceasefire. U.S. Vice President JD Vance left Islamabad on Sunday morning after 21 hours of talks with Iranian officials.

Vance blamed the collapse on Tehran's refusal to abandon its nuclear weapons program. While both parties indicated that a quick agreement was unlikely given the issues involved, neither indicated the next step in diplomacy, as Israel's attacks on Lebanon continued throughout the weekend.

President Donald Trump asserted that the U.S. does not rely on tankers that Iran blocked from passage through the Strait of Hormuz over the past month. "We don't need anything they have," Trump said. He also referenced "BLOCKADING any and all Ships trying to enter, or leave, the Strait of Hormuz."

A two-week truce between the U.S. and Iran had been agreed on Wednesday, brokered by Pakistan. Under the ceasefire agreement, Iran was to reopen the Strait of Hormuz. Oil prices fell below $100 a barrel on Wednesday after the truce was announced, and global stock markets rebounded.

The war began on Feb. 28 with U.S. and Israeli airstrikes on Tehran. Iran effectively closed the Strait of Hormuz and blocked tankers from passage for the past month, while also charging tolls for vessels transiting the waterway, which handles shipments accounting for 20 percent of global oil and liquefied natural gas. Most tankers remained blocked while negotiators sparred over deal details, though shipping data showed three fully laden supertankers passed through the strait on Saturday — the first vessels to exit the Gulf since the ceasefire deal. Other oil tankers remained stranded in the Gulf.

Saudi Arabia announced that its east-west oil pipeline and other facilities had been restored following attacks by Iran on infrastructure across the Gulf. According to an energy ministry statement, the attacks led to a loss of approximately 700,000 barrels per day of pumping capacity through the east-west pipeline, and work was under way to restore full production at the Khurais oilfield.

Brent crude was about $72 a barrel before the war began, peaked at $119.45 during the conflict, and ended the week at $94.26. Gasoline pump prices across the U.S. exceeded $4 per gallon for the first time in four years, and a report by Democrats on the Joint Economic Committee found that U.S. households paid $8.4 billion more for gasoline over the past month compared to prices before the war began. The U.S. Energy Information Administration said oil prices will remain elevated at least through the end of the year even if the conflict is fully resolved by the end of April.