Iranian President Masoud Pezeshkian has stipulated that sanctions relief must occur before direct dialogue with the US. He argues that escalating economic warfare hinders diplomatic progress and requires a practical easing of pressure for honest talks. Pezeshkian believes that threats and sanctions must be practically removed to facilitate negotiations. He cited the example of US-Russia relations, where dialogue increased after President Trump waived sanctions and facilitated a diesel release deal. Pezeshkian appears to be looking for a similar scenario, dependent on US desperation for a peace deal. Despite significant economic pressure and the plummeting Rial, Iranian leaders maintain the country can withstand the "wartime state of survival" for years. However, the Pentagon and the Trump administration suggest Iran's financial strain is severe. US Central Command chief Brad Cooper stated that Iran-aligned militia groups are withholding payments to their soldiers to funnel money to the IRGC. Iranian officials have acknowledged deep financial pain impacting society and government coffers due to US sanctions and the naval blockade. Nevertheless, Iranian leaders remain defiant, with the Central Bank chief claiming Iran's economy is resilient and not collapsing. Iran is also preparing for potential US escalation, viewing it as likely and warning of risks to civilian lives and the global economy if escalation occurs.