The US-Iran deal announced Monday would extend a Gulf ceasefire by 60 days and reopen the Strait of Hormuz. However, both sides said a permanent truce still needs to be negotiated.
President Donald Trump of the United States said after arriving in France for a G7 summit that “the deal’s all signed.” Meanwhile, Vice President JD Vance is expected to attend a formal signing ceremony in Geneva on Friday.
Iranian President Masoud Pezeshkian called the memorandum of understanding an “important step” toward ending the fighting. He said a final agreement for a lasting truce “has yet to take shape.”
The framework would reopen the Strait of Hormuz, the waterway between Iran and Oman. This channel accounts for a major share of global oil trade. As a result, oil prices fell after news of the agreement, according to market reports and sources.
Vance told CNN the signed memorandum was a general document of about 1-1/2 pages. He said it included “a very significant sanctions relief package” for Iran, with details expected to be released within two days.
.@VP on Iran: "There hasn't been a single dollar of sanctions relief or unfrozen assets, either from the United States or any of our allies in the Gulf… They only get that benefit if they meet their obligations under the agreement." https://t.co/hg0NRSxDuK pic.twitter.com/9eHgjOLrRF
— Rapid Response 47 (@RapidResponse47) June 15, 2026US officials said later talks would address Iran’s nuclear program, sanctions relief, frozen assets and a proposed reconstruction fund. They said Iran would need to meet US demands on nuclear weapons and support for regional militias before receiving benefits.
The agreement does not appear to resolve disputes over Lebanon. Furthermore, Israeli Prime Minister Benjamin Netanyahu said Israel would keep forces in southern Lebanon and retain the right to respond to Hezbollah attacks.
Read: US-Iran Agreement Set for Friday Signing in Switzerland
Lebanese state media reported an Israeli drone strike in Kfar Tebnit after the deal was announced. Netanyahu said Israeli forces killed four “militants,” while Iranian Foreign Minister Abbas Araqchi said Israeli attacks must stop immediately.
