FEATURE | Trump sees chance of Iran deal but warns strikes could resume

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 US strikes would resume if the negotiations failed to deliver.

Despite Trump's optimism, Tehran appeared to quickly test the pause in the US 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."