Trump Cancels Iran Strikes, Claims Peace Deal Is Imminent as Tehran Cautions No Final Agreement Reached

President Donald Trump abruptly canceled a wave of planned military strikes against Iran on Thursday evening, announcing that a "great settlement" had been reached to end the three-month-old war. Speaking from the Oval Office and posting on Truth Social, Trump claimed that discussions had been approved at the highest levels of Iranian leadership. He suggested that a formal signing ceremony could take place in Europe as soon as this weekend, with Vice President JD Vance attending on behalf of the United States. The sudden pivot halted what was expected to be a severe escalation in the conflict, which has heavily disrupted global energy markets.[2][3][8]

The diplomatic whiplash came just hours after Trump issued stark threats to cripple Iran's economy by seizing its most vital energy assets. On Thursday morning, the president warned that the U.S. military would strike Iran "VERY HARD" and take control of Kharg Island, the Persian Gulf terminal that historically handled roughly 90% of Iran's crude oil shipments. Trump explicitly compared the proposed operation to recent U.S. actions in Venezuela, asserting that Washington would assume "total control" of Iranian oil and gas markets to force Tehran's hand.[4][7]

However, Trump later softened his rhetoric during a live telephone interview on Fox News, expressing doubt about whether the American public had the "appetite" or "stomach" for a ground operation to occupy Kharg Island. He also noted a reluctance to target civilian infrastructure, such as power plants, acknowledging that "the people suffer" when such facilities are destroyed. By Thursday evening, the threats of imminent bombardment were entirely replaced by declarations of a diplomatic breakthrough, with Trump asserting that the stock market's positive reaction proved the deal's value.[1][2][7]

Despite the White House's optimism, officials in Tehran quickly pumped the brakes on the narrative that a final deal was already sealed. Iranian Foreign Ministry spokesperson Esmaeil Baghaei stated that while large portions of the text had been finalized, Iran had not yet reached a "final conclusion" and would not compromise on its established red lines. Tasnim, a semi-official Iranian news agency, cautioned the public to dismiss any announcements from Trump until a formal understanding is confirmed by Iranian leadership.[1][6]

Even with the official caution, there are strong indications from within Iran that an agreement is highly probable. The semi-official Fars News agency reported that the text accepted by the United States has already been approved by Iranian negotiators, though a formal response has not yet been delivered. Diplomatic sources briefed on the talks indicated that key gaps were significantly narrowed during recent mediation sessions in Qatar, though they warned that potential spoilers could still derail the fragile consensus.[5][6][8]

If finalized, the memorandum of understanding would serve as a conceptual framework rather than a comprehensive treaty. According to sources familiar with the negotiations, the signing would trigger a 60-day window for intensive talks regarding Iran's nuclear program and the unfreezing of billions of dollars in Iranian assets. A critical immediate provision would involve demining the Strait of Hormuz and reopening the vital maritime chokepoint to commercial shipping, though the U.S. naval blockade would reportedly remain in place during the initial demining phase.[1][3][6]

The push for a settlement follows a volatile week that threatened to shatter a nominal ceasefire established in April. The U.S. and Iran have engaged in a cycle of retaliatory strikes since the war escalated in late February, with the U.S. recently targeting Iranian military surveillance capabilities, air-defense sites, and vessels allegedly attempting to run the blockade. The conflict has resulted in thousands of casualties across the region and forced global shipping to reroute away from the Persian Gulf.[1][8]

Regional allies are watching the negotiations closely, particularly regarding the stipulations surrounding Iran's nuclear capabilities. Israeli Prime Minister Benjamin Netanyahu held a phone call with Trump on Thursday to discuss the emerging memorandum. While Israel is not a party to the agreement, Netanyahu's office released a statement expressing appreciation for Trump's commitment that any final deal would require the dismantling of Iran's nuclear enrichment infrastructure and the removal of enriched material.[5][8]

The coming days will test whether the current diplomatic momentum can survive the deep mistrust between Washington and Tehran. Trump has previously claimed that a deal was imminent only for negotiations to collapse and hostilities to resume. However, the explicit cancellation of Thursday's airstrikes and the detailed framework emerging from Qatari mediation suggest that both sides are closer to a formal off-ramp than at any point since the war began 105 days ago.[1][4][5]