Iran hints at diplomatic ties with U.S.

TEHRAN, Jan. 4 (UPI) -- Iranian Supreme Leader Seyed Ali Khamenei hinted Tehran may restart diplomatic relations with the United States.

Khamanei hinted at the policy change during a speech in the central Iranian city of Yazdi but cautioned restarting diplomatic relations with the United States would be "harmful" to Iran in the current geopolitical environment, the Fars News Agency said Friday.

Khamenei also said Iran would continue to work on its nuclear program.

The United States and Iran halted formal diplomatic relations following the 1979 Iranian Revolution.