Trump Cancels Iran Strikes, Announces Peace Deal Framework Imminent
President Trump announced he has canceled scheduled military strikes on Iran and declared a peace deal is close to being finalized, with a signing potentially occurring this weekend in Europe. Iran's government has not confirmed the deal, casting doubt on Trump's optimism.
Deal Announcement Amid Escalation
President Donald Trump claimed the US has "ended the war with Iran," after earlier Thursday announcing a "great settlement" that he said would resolve the conflict and reopen the Strait of Hormuz. Trump wrote on Truth Social that "discussions with the Islamic Republic of Iran have been brought to the highest level of Iranian leadership and approved," canceling "the scheduled strikes and bombings against Iran this evening."
Conflicting Signals from Tehran
Despite Trump's proclamation, Iran's government has not publicly confirmed the deal. Iran's Foreign Ministry spokesperson Esmail Baghaei told Iran's state-run news agency IRNA that reports of a finalized agreement with the United States were "merely speculation" and said Tehran had not yet made a final decision on any deal. Iran has not approved any text for an initial memorandum of understanding with the United States, according to sources close to Iran's negotiating team.
Market Impact and Timeline
Oil prices fell sharply after Trump announced he had canceled planned strikes, with Brent crude futures falling $2.72, or 2.9 percent, to settle at $90.38 a barrel on June 11. Trump said later in the Oval Office: "We should get done over the next few days. We're going to have a signing, maybe in Europe, and it's a great thing." Trump said Vice President JD Vance could attend a signing ceremony in Europe in the coming days.
Domestic and Regional Pressures
The conflicting statements represent the box Trump finds himself in trying to will — and bomb — Iran into submission as inflation hits the highest number in years and his popularity remains at a low point. The ongoing Iran war is projected to slow global economic growth to its weakest pace since the Covid-19 pandemic, with global economic growth forecast at 2.5% this year, down from 2.9% in 2025. Trump's announcement of an imminent agreement on Truth Social caught Netanyahu by surprise as he was meeting with his top security official to discuss Iran.