Jumana Bersetchi

The question here is whether there actually can be a compromise between the two sides, because the U.S.

has so far been insisting on a zero enrichment policy.

The Iranians have said that it is their right as being part of the nonproliferation treaty to allow for a small amount of enrichment for civilian purposes.

Whether the two sides can actually agree on to a small amount of enrichment remains to be seen.

We're very much a region on tenterhooks over here.

Perhaps some progress on the potential for diplomatic windows since where we were on Friday.

But at the same time, the fact that you have such a huge military buildup of assets in the region,

Bigger than that prior to the Iran-Israel 12-day war last year suggests that military action is still very much on the table.

So far, the U.S.

have been pushing for a zero enrichment policy on uranium.

The Iranians have said that it is their right under the NPT, the Non-Proliferation Treaty, to allow for a little bit of enrichment for civilian purposes and even for medical purposes as well.

So it remains to be seen whether there is going to be some flexibility on the U.S.

's part.

News when you want it with Bloomberg News Now.

I'm Jumana Bersetchi.

And I'm Caroline Hipke.

Both the United States and Iran say talks on a nuclear deal are making progress, suggesting the chances of an imminent military clash are low.

A U.S.

official has told Bloomberg that Tehran's diplomats are due to return to Geneva in two weeks with a new proposal.

Iran's Foreign Minister Abbas Arrakshi says the path to a deal has started.