Just so everybody's clear:

Iran's top leader said his country would not bend to international pressure and give up its nuclear program, according to state television. Supreme Leader Ayatollah Ali Khamenei, who has the final say in all state matters, said Iran would continue its nuclear program despite Western efforts to thwart it with sanctions. "No threat can hinder the Iranian nation from its path," he said.

And of course the global "what the fuck" reply to the NIE has done absolutely nothing to stop the left from insisting that talk of Iranian nuclearization is just so much neocon warmongering. But maybe an incentives package will dissuade Tehran. Sure we've been skeptical to the point of pedantry about the possibility - but maybe it could happen:

An Iranian diplomat says the West's package of incentives is aimed at damaging Tehran's image and bringing more pressure on it. "They (Western powers) expect Iran to exchange its valuable achievements with their worthless incentives, but they should know that the Iranian officials and people are united in defending their great achievements on the use of nuclear energy for peaceful purposes," Iran's Ambassador to Indonesia, Behrouz Kamalvandi, said in a meeting with the Indonesian Parliament Vice Speaker, A.M. Fatwa.

Or not. At least Iran isn't upgrading its ties with Egypt with an eye on slipping nonconventional weapons into Gaza. And at least NATO SecGen Scheffer isn't convinced that Iranian nuclearization will trigger an unstoppable tsunami of global proliferation.

And at least Obama's commitment to dialogue is exactly the kind of thing that works with the Iranians:

Iran says it will not hold a new round of talks with the US on security in Iraq until American forces end their current assault against Shiite militias. Iranian Foreign Ministry spokesman Mohammad Ali Hosseini's announcement Monday is the first official confirmation that the talks will be suspended. Iran's semi-official Fars news agency quoted an unnamed senior Iranian negotiator Saturday as saying new talks were not possible with continued US attacks against the Iraqi people.

Super.

References:
* Ayatollah: Iran won't stop nuke program [JPost]
* 'Iran may have resumed nuclear program' [JPost]
* Mathematical Proof That Negotiating With Iran Is Stupid. Not Wrong. Stupid. [MR]
* 'West's incentive package worthless'
* Renewed Iran-Egypt Ties? [JPC]
* NATO chief: More nations could follow Iran and North Korea [JPost]
* Iran suspends talks with US over security in Iraq [JPost]

Previously:
* Hey Gals, Check This Out - Iran Has Legal Slavery And Rape Of Prepubescent Girls. They Call It "Temporary Marriage".
* Obligatory Post About Iran's "Hezbollah Radiation Will Destroy Israel" Threat (Plus: Mugniyah Assassination Dramatically Demonstrates Absurdity Of Liberal Foreign Policy Sophistication)
* Iran: Israeli Self-Defense is a Cause for War