UN inspectors have found traces of near bomb-grade enriched uranium on nuclear equipment in Iran, diplomats said on Friday, as the EU prepared a declaration that will insist Tehran shelve all enrichment work. Iran signaled undiminished confidence in a lack of big power resolve against its atomic work with President Mahmoud Ahmadinejad calling Western pressure “psychological propaganda” and the U.S.-mooted, last-resort option of war “unlikely.” Full Story