Trump cancels Iran strikes, says a deal is at the signing stage

In one of the sharpest intraday reversals of the months-long US-Iran conflict, President Donald Trump on Thursday called off planned military strikes against Iran and declared a peace agreement was close to being signed.

Trump's announcement was a dramatic reversal from hours earlier, when he had warned that the US would hit Iran "very hard tonight" and soon take over Iran's oil infrastructure, including Kharg Island. In a Truth Social post, he wrote that "discussions with the Islamic Republic of Iran have been brought to the highest level of Iranian leadership and approved," and that he had cancelled the scheduled strikes and bombings.

What the Proposed Deal Includes

Trump claimed the US had "just made a great settlement of the war with Iran," subject to the "finalization of documents," and said in the Oval Office that he expects a signing to occur "over the next few days." On camera, he described the framework as including an extended ceasefire, a reopening of the Strait of Hormuz, and a 60-day window for nuclear talks. The US naval blockade on Iranian ports in the Strait of Hormuz, the vital global shipping route through which roughly 20 percent of world oil and natural gas passes, will remain in full force until a deal is finalized.

Trump wrote that discussions had been "approved by all parties involved," citing Israel and nine other regional powers. But that list did not include Iran or Lebanon, which Israel has continued to strike. Iran has not publicly confirmed the deal, and Iranian state media has urged caution given the track record of the talks. The US and Iran have been close to a deal before, only for it to fall apart.

Market Reaction

Stock indexes soared and oil prices sank right after Trump's announcement. Crypto markets also responded positively, turning broadly green across major tokens as traders priced in a reduction in geopolitical risk.

The backdrop to Thursday's reversal is a conflict that has dragged on for months. The United States and Israel launched large-scale strikes on Iran on February 28, 2026, marking the start of the wider war. Iran and the United States announced a temporary two-week ceasefire on April 7, 2026, but that truce subsequently frayed. Residents of Tehran had been fleeing the city as the last gasp of the April ceasefire seemed to disintegrate and both sides braced for a third day of missile fire.

Whether Thursday's announcement marks a genuine turning point or another false dawn remains to be seen. As one senior Israeli official noted, Israeli Prime Minister Benjamin Netanyahu expressed appreciation that final negotiations with Iran would include the removal of enriched uranium from Iran and limits on its missile production. The signing location is expected to be in Europe, though a time and venue have not yet been confirmed.

Sources:
CNBC: Trump cancels Iran strikes scheduled for Thursday evening
NPR: Trump now says a peace deal will be announced "soon," cancels further strikes
NBC News: Live updates: Trump says he has canceled strikes on Iran