{"id":4201,"date":"2026-06-18T10:35:38","date_gmt":"2026-06-18T10:35:38","guid":{"rendered":"https:\/\/movinginsiderusa.com\/?p=4201"},"modified":"2026-06-18T10:35:38","modified_gmt":"2026-06-18T10:35:38","slug":"u-s-and-iran-sign-initial-deal-to-end-war-and-open-strait-of-hormuz","status":"publish","type":"post","link":"https:\/\/movinginsiderusa.com\/?p=4201","title":{"rendered":"U.S. and Iran sign initial deal to end war and open Strait of Hormuz"},"content":{"rendered":"
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President Donald Trump with German Chancellor Friedrich Merz, left, U.K. Prime Minister Keir Starmer and French President Emmanuel Macron at the G-7 summit in France. (Ludovic Marin\/AFP\/Getty Images)<\/figcaption>\n<\/figure>\n

The United States and Iran have signed an initial peace deal that is expected to open the Strait of Hormuz and waive U.S. sanctions on Iranian oil but reserve some of the toughest negotiations, including on Tehran\u2019s nuclear capabilities, for a 60-day period ahead.<\/p>

Read more Are we back where we started on Iran?<\/a><\/p>\n

President Donald Trump signed the memorandum of understanding<\/a> during a dinner at the Palace of Versailles on Wednesday night, capping off the Group of Seven summit in France<\/a>, seated between French President Emmanuel Macron and his wife, Brigitte, with Secretary of State Marco Rubio standing behind him.<\/p>\n

\u201cIt\u2019s signed,\u201d Trump told reporters outside the venue early Thursday local time. \u201cJust signed it.\u201d<\/p>\n

Iranian President Masoud Pezeshkian also signed the agreement, known as the Islamabad Memorandum of Understanding, in the early hours of Thursday, Iran\u2019s state media<\/a> reported.<\/p>\n

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An image from video shows Trump signing the deal Wednesday. (@Scavino47\/AFP\/Getty Images) (-\/AFP\/Getty Images)<\/figcaption>\n<\/figure>\n
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A photo from the Telegram account of the state-owened Islamic Republic of Iran Broadcasting shows Iranian President Masoud Pezeshkian holding the memorandum he signed. (AFP\/Getty Images)<\/figcaption>\n<\/figure>\n

The signing of the 14-point memorandum comes after nearly four months of war that has depleted U.S. munitions stockpiles<\/a>, crippled shipping through the Strait of Hormuz, sent energy prices soaring and proved deeply unpopular in the U.S.<\/p>\n

A ceasefire reached in April came under intense strain this month as back-and-forth strikes flared<\/a> across the region, while Trump veered between threats of further attacks and efforts to end the war.<\/p>\n

The deal has been welcomed by some as an end to regional instability and a move that could reduce inflationary pressure. But the bare-bones agreement has also been widely criticized as an acceptance of the status quo from before the U.S. and Israel launched strikes on Iran on Feb. 28. Key sticking points, including Iran\u2019s nuclear capacity, remain subject to negotiations.<\/p>\n

Pakistani Prime Minister Shehbaz Sharif, who helped mediate, said the deal would come into \u201cimmediate effect,\u201d with Iran beginning to reopen the Strait of Hormuz and the U.S. lifting its naval blockade.<\/p>\n

The signing \u201cdemonstrates the commitment of both sides to a diplomatic resolution of the conflict,\u201d Sharif said<\/a>, thanking authorities in the U.S. and Iran as well as in Qatar, Saudi Arabia, Turkey and Egypt who also worked to broker the deal.<\/p>

Read more Trump fixates on a new competition with Obama: Their libraries<\/a><\/p>\n

The agreement was set to be signed in person on Friday by Vice President JD Vance and Iran\u2019s Parliament Speaker Mohammad Bagher Ghalibaf in Switzerland, though it was unclear whether that would still take place.<\/p>\n

Trump defended the agreement during a 70-minute news conference Wednesday, touting the economic benefits while acknowledging disagreement among advisers over Iran\u2019s ballistic missile program, which isn\u2019t specifically addressed in the initial deal. He also criticized Israel for its actions in Lebanon, where it is fighting Iranian-backed Hezbollah militants, saying that the country has a right to defend itself but that it had been too heavy-handed at times. \u201cThey could behave better, and frankly, they could do a better job,\u201d Trump said.<\/p>\n

The initial deal declares the \u201cimmediate and permanent\u201d end to military operations on all fronts, including Lebanon, and paves the way for a \u201cfinal deal\u201d in the next 60 days, \u201cextendable with mutual consent,\u201d according to the text<\/a> of the memorandum shared by a senior U.S. official who read it out on the condition of anonymity.<\/p>\n

Its terms include opening the Strait of Hormuz, lifting the U.S. blockade, and U.S. and regional partners developing a $300 billion plan for the \u201creconstruction and economic development\u201d of Iran. The U.S. Treasury would also waive sanctions on Iranian oil exports and the two countries would \u201crefrain from interfering in each other\u2019s internal affairs\u201d \u2014 a far cry from the regime change Trump initially embraced<\/a>.<\/p>\n

Shipping industry officials and maritime experts have said that even if the critical strait that carried around 20 percent of the world\u2019s oil and gas supplies before the war began is opened, high energy prices and shortages<\/a> could persist for months.<\/p>\n

The strait remains studded with mines Iran has laid since the start of the war, and it could take weeks to clear hundreds of stranded vessels. Shipping firms are also concerned about putting vessels and crew at risk of attack, should the peace deal fracture.<\/p>\n

Early Thursday, Trump said in a post on Truth Social<\/a> that critics \u201cwho think I haven\u2019t been tough enough on Iran\u201d are \u201cjealous, bad people, or stupid\u201d because oil prices are now falling.<\/p>\n

The price of Brent crude, the international benchmark, dropped to $77 per barrel on Thursday, a long way from the four-year-high of $126 per barrel<\/a> reached in late April but <\/b>higher than the $69 a barrel before the war began.<\/p>

Read more Trump will host Knicks at White House, owner says<\/a><\/p>","protected":false},"excerpt":{"rendered":"

The president defended the agreement, but it has been criticized as a return to the pre-war status quo, with the toughest negotiations still to come.<\/p>\n","protected":false},"author":1,"featured_media":4197,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-4201","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-interesting"],"yoast_head":"\nU.S. and Iran sign initial deal to end war and open Strait of Hormuz - Moving Insider USA<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/movinginsiderusa.com\/?p=4201\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"U.S. and Iran sign initial deal to end war and open Strait of Hormuz - 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