Washington, United States. Hopes for peace between Iran and the United States rose on Friday after President Donald Trump said a deal could be signed as soon as this weekend. Tehran said large parts of the agreement had been finalized but that no final decision had yet been made.
Trump says signing could come soon
Trump told reporters at the White House on Thursday that a settlement had been reached in the war with Iran, describing it as a major step toward ending the three-month-old conflict.
He said the Strait of Hormuz would officially reopen once the agreement was signed and said this could happen soon, possibly over the weekend in Europe. Trump also said Vice President JD Vance would attend the signing.
Asked whether Iran’s Supreme Leader Ayatollah Mojtaba Khamenei had approved the deal, Trump said he understood that the answer was yes.
Tehran says review is still underway
Iranian media reported Foreign Ministry spokesperson Esmaeil Baghaei as saying that large parts of the agreement had been finalized, but that Iran would not compromise on its red lines.
Baghaei said Iran had not reached a final conclusion on the matter and that the issue was being reviewed by the relevant decision-making bodies.
Conflict and market impact
If confirmed, the agreement would represent the most significant diplomatic breakthrough so far aimed at ending the war, which began three months ago and has killed thousands.
The conflict has also driven global energy prices sharply higher after Iran all but closed the Strait of Hormuz to shipping.
Since mid-March, Trump has repeatedly said a deal with Iran to end the war was near. The two sides have exchanged strikes this week, adding strain to a ceasefire announced in April.
Markets rally as tensions persist
Asian stocks joined a broader global rally on Friday on expectations that a peace agreement could be reached, while oil prices fell to their lowest levels in two months.
Despite the optimism, tensions remained high around the Strait of Hormuz. A U.S. official said U.S. forces shot down two Iranian one-way attack drones after Tehran attempted to strike commercial ships passing through the waterway.