U.S. President Donald Trump has announced that a formal agreement with Iran is set to be signed on June 19 or 20, possibly as early as Friday. The deal stems from a memorandum of understanding that could be signed remotely as soon as Wednesday, according to sources close to the negotiations. If signed, provisions on the reopening of the Strait of Hormuz could immediately take effect, and the full text would be made public. However, a final decision on timing had not yet been made, and talks scheduled for Friday in Switzerland were expected to proceed.
During the closing of the G7 Summit, Trump defended the agreement, calling it a “very strong deal” and stating the Strait of Hormuz would soon be fully reopened. He noted that G7 allies were “very pleased” with the deal and expressed confidence that Iranian leaders would “behave very differently” going forward. Trump set a 60-day deadline for the memorandum to become a final agreement, warning that military action could resume if the terms are not met. “If an agreement isn’t reached with Iran within 60 days, the bombing will resume,” he said, adding that while he did not want to bomb Iran again, it might be necessary.
The agreement is expected to address key issues including Iran’s nuclear program and sanctions relief. A successful deal could reduce tensions in the Persian Gulf and allow Iran to re-enter global oil markets, potentially increasing oil supply and lowering prices. Analysts note that enforcement mechanisms and verification protocols remain unclear, and Iran’s compliance will be critical. The news has already caused slight volatility in crude oil markets, with investors watching for further details that could affect inflation expectations and global risk appetite.
