US and Iran Reach Tentative Peace Deal as Global Leaders Urge Caution

US and Iran Reach Tentative Peace Deal as Global Leaders Urge Caution

The United States and Iran have agreed to what both sides describe as a tentative peace deal aimed at ending years of conflict, with an initial agreement expected to be signed in Geneva on Friday.

While the announcement marks a major diplomatic development, several critical issues remain unresolved, including the status of the Strait of Hormuz, Iran’s nuclear programme, and wider regional tensions.

The deal was first announced by Pakistan’s Prime Minister Shehbaz Sharif, who has played a mediating role in the talks.

Shortly after, US President Donald Trump confirmed the agreement, describing it as a breakthrough and stating that it would bring peace and stability to the region.

Iranian officials also confirmed that the understanding signals an end to hostilities, including fighting linked to Lebanon.

However, uncertainty remains over how maritime access through the Strait of Hormuz will be managed, with differing accounts emerging from the negotiating sides.

Trump said the strait would reopen after the signing, while Iranian state-linked reports suggested it would operate under arrangements set by Tehran.

The US president also warned that if a final nuclear agreement is not reached, military action could resume, underscoring the fragility of the deal.

International reactions have been cautious but largely positive. European leaders have stressed that Iran must not be allowed to acquire nuclear weapons, while the United Nations Secretary-General António Guterres described the development as a “critical step.”

Markets responded swiftly, with oil prices falling and Asian stock indices rising on expectations of reduced geopolitical risk.