Iran's opposition still unbowed, using 'Neda' balloons as icon of protests

Having lost the avenue of street demonstrations, Mousavi supporters said they planned to release thousands of balloons on Friday imprinted with the message "Neda you will always remain in our hearts" -- a reference to a young woman killed last week whose image has become an icon of the protests.

PRESSURING IRAN

The United States withdrew invitations to Iranian diplomats to attend U.S. Independence Day celebrations on July 4.

It was the first time since Washington cut diplomatic ties with Tehran in 1980 that Iranian diplomats had been invited to the embassy parties, but the move to withdraw the invites was largely symbolic as no Iranians had even responded.

"The president's policy of engagement is obviously delayed, but we are going to have to deal with the government of Iran," Senator John Kerry, chairman of the influential Senate Foreign Relations Committee, told Reuters.

The best U.S. option for pressuring Iran, the world's fifth biggest oil producer, was to drive down crude prices by reducing America's dependence on imported energy, Kerry said.