Iran announced on Wednesday that its leaders are reviewing a fresh proposal from the United States to end the ongoing war in the Gulf. Negotiators from Washington and Tehran are close to signing a 14-point, one-page document. Pakistan currently hosts the peace talks and delivers messages between the two rival nations.
US President Donald Trump used social media early Wednesday to push the agreement forward. He stated the conflict will end as soon as Iran accepts the current terms. He also issued a stark warning, noting that the US military will drop bombs at a much higher intensity if Tehran rejects the offer. Later in the day, Trump told reporters at the New York Post that he will not schedule face-to-face meetings to sign anything just yet.
If both nations sign this initial memo, they will start a strict 30-day timeline for much harder negotiations. US envoys Steve Witkoff and Jared Kushner currently lead the American team. During this 30-day window, negotiators plan to discuss lifting heavy US sanctions, releasing frozen Iranian funds, and placing new limits on Iran’s nuclear program. Both sides also need to agree on a plan to reopen the Strait of Hormuz to global shipping.
Financial markets reacted immediately to the peace rumors. Global oil prices crashed by 11%, bringing benchmark Brent crude futures down to exactly $98 a barrel. Stock markets around the world jumped higher, and bond yields fell. Investors feel very optimistic that ending this war will secure global energy supplies and lower costs for everyday consumers.
To show goodwill during the talks, Trump paused a naval operation known as Project Freedom. He launched this military mission just 2 days ago to force commercial ships through the blocked Strait of Hormuz. The project failed to move shipping traffic and instead triggered a fresh wave of Iranian attacks. Iranian forces fired on ships in the strait and struck land targets in the United Arab Emirates. Just yesterday, a French shipping company reported an attack on one of its container ships, forcing emergency teams to evacuate several injured crew members.
Despite the progress, the draft agreement omits several major demands that Washington previously required. The text completely ignores Iran’s expanding missile program. It also fails to address Iran’s funding and arming proxy militias across the Middle East. Furthermore, the memo skips over Iran’s existing 400 kg stockpile of near weapons-grade uranium. Washington previously demanded Iran surrender this massive 900-pound stockpile before the war could end.
Iranian officials continue to express doubts about the outcome. Lawmaker Ebrahim Rezaei publicly dismissed the leaked text as an American wish-list rather than a realistic document. He insisted the United States cannot win at the negotiating table what it failed to win on the battlefield. Foreign Minister Abbas Araqchi, currently traveling in China, demanded a fully fair and comprehensive agreement before Tehran makes any promises. Local news outlets in Iran report that the government still holds serious objections to the current American offer.
Meanwhile, Washington failed to loop its wartime ally Israel into the negotiation process. An Israeli official confirmed the government did not know Trump was this close to a final deal with Tehran. Israel urged Washington to stand firm on strict demands. Instead of preparing for peace, Israeli military leaders are actively preparing for the fighting to escalate in the coming days.
