In a significant diplomatic development, the United States and Iran are moving closer to a short-term agreement aimed at ending their ongoing conflict. According to sources and officials speaking to Reuters, the emerging plan centers on a temporary memorandum rather than a comprehensive peace deal, highlighting the deep divisions that persist between the two nations. This proposed framework would seek to stop the fighting and stabilize navigation through the strategically vital Strait of Hormuz, though it would leave the most contentious issues, particularly Iran's nuclear program, for future negotiations.
The structure of the proposed deal unfolds in three distinct phases. First, it would formally end the war, which saw large-scale hostilities paused following a ceasefire announced on April 7. Second, it would address the crisis in the Strait of Hormuz, a critical chokepoint for global oil shipments. Finally, it would establish a 30-day window for negotiations on a broader, more permanent agreement. A senior Pakistani official involved in mediating between the two sides emphasized their priority: "Our priority is that they announce the permanent end of the war and that the remaining issues can be resolved when they return to direct negotiations."
President Donald Trump has adopted an optimistic tone regarding the prospects for a deal. Speaking to reporters at the White House, he stated, "They want to make a deal... it is very possible," and later added, "this will end quickly." This optimism comes despite the fact that the proposal would leave major U.S. demands unmet, specifically that Iran suspend its nuclear program and fully reopen the Strait of Hormuz.
On the other side, Iranian officials have expressed skepticism. A spokesperson for Iran's Ministry of Foreign Affairs indicated that Tehran would respond in due time, while parliamentarian Ebrahim Rezaei described the U.S. proposal as "more of an American wish list than a reality." Further casting doubt, the Speaker of Iran's Parliament, Mohammad Baqer Qalibaf, appeared to mock reports of progress, writing on social media that the "Operation Trust Me Bro failed" and portraying the negotiations as a U.S. illusion following its failure to reopen the strait.
The conflict, which began on February 28 with Israeli and U.S. strikes against Iran, has had wide-reaching regional implications. Israel, which has also been fighting the Iran-backed Hezbollah in Lebanon, announced on Thursday that it had killed a Hezbollah commander in an airstrike on Beirut the previous day. This marked the first Israeli strike on the Lebanese capital since a ceasefire was agreed upon last month. The cessation of Israeli attacks in Lebanon is another key Iranian demand in the negotiations with Washington.
The hopes for even a partial agreement have already moved global markets. On Thursday, global stocks hit record highs, while oil prices suffered sharp declines on bets that supply disruptions could diminish. The potential reopening of the Strait of Hormuz, a key artery for international oil trade, is a central factor driving this market optimism.
While a one-page memorandum to formally end the conflict is reportedly close, significant differences remain. The core disputes over Iran's nuclear ambitions—including the fate of its highly enriched uranium stockpiles and the duration of any suspension of nuclear work—remain unresolved. Both sides have scaled back their ambitions for a comprehensive deal, acknowledging that any agreement at this stage would be a provisional step toward a more stable future.
Based on reporting from g1.