If we cut a deal with Iran it better be a good one with viable safeguards because if it isn't, the game is up. It took years to rally world support for the sanctions. I seriously doubt if the political will would be there to go through it again.
What is interesting, however, is that anti-American rhetoric is not focused on what America is, but on what America does. It is blatantly false that -- to quote George W. Bush on Islamic radicalism -- "they hate our freedom."
Western media took Ayatollah Khamenei's answer as a clear "no" to negotiations and as an unnecessarily rude rebuke of Joe Biden's gesture. This said, a closer look at his speech reveals other aspects and allows for a more nuanced reading.
Time is running out. In the context of the Arab Spring, the U.S. has to focus on the Iranian people and their organized opposition as the key to building a free, democratic and non-nuclear Iran. That is the surest way to salvage a peaceful solution and avoid the military option.