President Trump announced Thursday that he has canceled planned U.S. military strikes against Iran and declared the conflict with the Islamic Republic is “over” after discussions reached the highest levels of Iranian leadership.
Trump’s decision came after months of escalating tensions between the United States and Iran over the country’s nuclear program. The president said Iran has agreed to abandon nuclear weapons development, which he described as the primary objective of negotiations.
What Trump Said
“They have agreed never to have a nuclear weapon, something that we insisted on; that was the whole purpose,” Trump said in his announcement. The president indicated that a formal agreement would be finalized at a signing ceremony in Switzerland, with the time and location to be announced shortly.
Trump stated that the U.S. Navy blockade of the Strait of Hormuz would remain in effect until the transaction is completed. He posted his full statement on Truth Social, confirming that scheduled strikes and bombings against Iran had been canceled.
Regional Response
Prime Minister Benjamin Netanyahu’s office confirmed that Trump had discussed the potential agreement with Israeli leadership. Netanyahu welcomed Trump’s commitment to ensuring any final agreement would restrict Iran’s nuclear capabilities and address other destabilizing activities by the regime, according to a statement from his office.
Israel had not publicly commented as of Friday on a draft memorandum of understanding that was reported by Iranian state media. Trump indicated he had consulted with Netanyahu and other regional leaders before making his decision.
Market Reaction
Global financial markets responded positively to news of the canceled strikes. European stocks rallied sharply, with the pan-European Stoxx 600 climbing 1.8%, while most major indexes posted gains around 2% in morning trading.
Energy markets also shifted on reduced concerns about supply disruptions. U.S. crude oil futures for July delivery fell 1.61%, while August Brent crude futures dropped 1.75%, according to CNBC.
Strategic Importance
The Strait of Hormuz remains a critical global energy chokepoint, with roughly 25% of the world’s seaborne oil shipments and about 20% of global liquefied natural gas exports passing through the narrow waterway. Control of the strait has been a focal point throughout tensions between the United States and Iran.
This story has been updated. CNN’s staff contributed to this report.
