The United States said yesterday that it has failed so far to reach an agreement on Iran'snuclear issue with other parties but insisted that it is moving "in the right direction."

"There are discussions going on, and clearly, we haven't reached a final agreement on text. So we're going to have to continue with our diplomacy," State Department spokesman Sean McCormack said at a briefing.

"We believe it's moving in the right direction," McCormack said.

Secretary of State Condoleezza Rice has expressed optimism thatthe United States will find the right language on this issue, McCormack said.