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Iran said it is reviewing a new U.S. peace proposal aimed at ending the ongoing conflict between Washington and Tehran, while major disagreements over Iran’s nuclear program and the Strait of Hormuz remain unresolved. The latest development comes as U.S. President Donald Trump expressed optimism that both sides could soon reach an agreement after what he described as productive talks over the past 24 hours.
According to Iranian media outlet ISNA, Tehran plans to formally respond to the proposal soon. Trump told reporters at the White House that Iran appears eager to finalize a deal, although earlier he warned on Truth Social that the U.S. could resume bombing operations if negotiations fail. The war, which began on February 28, has severely disrupted global energy markets and heightened tensions across the Middle East.
Sources familiar with the negotiations said mediators are close to finalizing a one-page memorandum that would officially end hostilities and open discussions on lifting U.S. sanctions, easing restrictions in the Strait of Hormuz, and limiting Iran’s nuclear activities. However, the proposal reportedly does not address key American demands, including halting Iran’s missile program, restricting support for regional proxy groups, and dealing with Iran’s large stockpile of near-weapons-grade uranium.
Iranian officials reacted cautiously to reports of progress. Parliament spokesperson Ebrahim Rezaei criticized the proposal as unrealistic, while Speaker Mohammad Baqer Qalibaf dismissed optimistic reports as American propaganda.
The possibility of a peace agreement triggered sharp movements in global markets. Brent crude oil prices plunged nearly 11% before recovering slightly above $100 per barrel, while global stocks rallied on hopes that energy supply disruptions could ease.
Meanwhile, Israeli Prime Minister Benjamin Netanyahu reiterated that all enriched uranium must be removed from Iran to prevent the development of nuclear weapons. Tehran continues to deny seeking a nuclear bomb.
