President Donald Trump told reporters in the Oval Office that the US had reached “a great settlement of the war with Iran,” sending Brent crude down 4.4% to about $89 a barrel.
Iran’s foreign ministry spokesperson Esmail Baghaei called the reports “speculative” and said “nothing has been finalised.”
Conflicting signals in hours
Just hours before claiming a deal was imminent, Trump had declared the US would hit Iran “very hard tonight” and threatened to seize Kharg Island, which handles roughly 90% of Iran’s oil exports.
Trump said the agreement would ensure Iran never obtains a nuclear weapon and that the Strait of Hormuz—through which about 20% of global oil and liquefied natural gas flows—would reopen once documents are signed.
He added that a signing would take place “maybe in Europe” and “pretty quickly,” though he acknowledged the documents were still being finalized.
Israel’s position
Israeli Prime Minister Benjamin Netanyahu’s office confirmed a call with Trump but said Israel “is not a party to the memorandum of understanding.”
Netanyahu expressed appreciation for Trump’s commitment to a final agreement covering the removal of enriched material, dismantling of enrichment infrastructure, limits on missile production, and an end to Iran’s support for regional proxies.
Escalation continues on the ground
The US and Iran exchanged strikes this week after a US Apache helicopter crashed in the Gulf on Monday.
US Central Command said it completed strikes on military and radar sites in southern Iran, while Iran’s IRGC launched retaliatory strikes against American bases in Bahrain, Kuwait, and Jordan.
The sharp drop in oil prices rippled across markets, with bitcoin holding relatively steady as geopolitical uncertainty kept traders cautious about risk assets.
