U.S. and Iran to Sign Memorandum Aiming to End Hostilities and Reopen Strait of Hormuz

President Donald Trump and Iran’s Supreme National Security Council said a memorandum of understanding has been reached that will extend the current U.S.–Iran cease-fire for 60 days and set the stage for talks on a permanent end to the conflict. The agreement, to be signed on Friday in Switzerland, is expected to halt sporadic attacks, end the Israel-Hezbollah fighting in Lebanon, and lift the reciprocal blockades of the Strait of Hormuz that have constrained oil shipments.

"The Deal with the Islamic Republic of Iran is now complete. Congratulations to all!" Trump posted on social media.

"The deal's all signed," Trump told French President Emmanuel Macron during a G7 meeting.

"Iran sees this deal as a victory," Iranian Deputy Foreign Minister Kazem Gharibabadi said in a statement.

Market reaction was positive, with the S&P 500 rising about 1.9% and oil prices falling roughly 5% after the announcement. The text of the memorandum has not been released, but officials indicated that key issues such as Iran’s nuclear program, frozen assets, and sanctions remain unresolved and will be addressed in subsequent negotiations.

Pakistan’s prime minister, who helped mediate the talks, confirmed the signing ceremony in Switzerland. European leaders, including those from the United Kingdom, France, Germany and Italy, welcomed the development and called for swift implementation, particularly the reopening of the Strait of Hormuz. Qatari Prime Minister Sheikh Mohammed bin Abdulrahman Al Thani also praised the breakthrough and urged constructive negotiations.

The agreement does not include a final settlement on Iran’s nuclear enrichment or the release of billions of dollars in frozen Iranian assets, and both sides have indicated that further talks will be needed within the 60-day extension.