U.S. President Donald Trump has said that there are no talks underway or planned to hold with Iran. Trump said this one day after saying his administration had established a back channel with Iran’s Islamic Revolutionary Guard Corps.

Meanwhile, Iran has denied any talks were taking place. Meanwhile, President Trump stated that Iran should wave a “white flag” indicating it has surrendered.

This latest war of words comes as the 60-day peace agreement between both countries expires without a final deal. Iran says U.S. violations of the initial terms rendered the deadline meaningless.

Both the US and Iran had reached a Memorandum of Understanding to cease fire and agreed to work towards a permanent end to the war within 60 days.

Meanwhile, Iran has denied any talks were taking place. And amid the uncertainty over the crisis, global oil prices are reported to have reached their highest levels since July.

Trump had earlier threatened to declare the Strait of Hormuz a U.S. territory and posted an image showing the waterway as “New US Territory.”