The memorandum of understanding has been signed by President Donald Trump and Vice President JD Vance and Iranian parliament speaker Mohammad Bagher Qalibaf, one U.S. official said.
Speaking at a briefing with reporters, the U.S. official added that there will also be a signing ceremony on Friday.
“You will see significant increase in traffic in the Strait of Hormuz, actually starting already, and that will ramp up slowly over time,” the U.S. official, speaking on the condition of anonymity, said.
“We probably won’t return to normal in two weeks, but we will see a significant increase in strait traffic,” the official said.
The U.S. and Iran said they had agreed terms to end their war and reopen the strait, news that brought relief to markets, although the pact may hinge on an end to hostilities in Lebanon and defers talks on Tehran’s nuclear program.
While still a framework, the deal marked the biggest breakthrough toward resolving the conflict that has killed thousands and upended energy markets since it began with joint U.S.-Israeli strikes on Iran in February.Donald Trump says a deal to end the war with Iran has already been signed and details will be released "pretty soon" This comes ahead of a formal signing ceremony in Switzerland on Friday.
Iranian President Masoud Pezeshkian has shared details of how Iran agreed to the memorandum of understanding (MoU), Al Jazeera reports. “After intensive discussions, nearly all members of the Majlis [Islamic Consultative Assembly] supported the text of the memorandum of understanding so that America’s true resolve to respect the rights of the Iranian nation could be tested in practice,” he writes on X.
Iranian President Masoud Pezeshkian has thanked Iranian Foreign Minister Abbas Araghchi, parliament speaker Mohammad Bagher Ghalibaf and members of the Shura council for their role in securing the US-Iran deal.
“The memorandum of understanding that has been drafted is the result of months of dialogue and persistent follow-ups in this regard, and if all its provisions are properly implemented, it can be considered a document of pride for the country,” he writes on X.
He adds that Supreme Leader Ayatollah Motjaba Khamenei “played the greatest role in incorporating clauses to safeguard Iran’s national interests”.
Pezeshkian adds that the MoU is the result of months of “dialogue and persistent follow-ups”, and an important step towards stopping war and beginning negotiations.
He notes that Iran “has prepared itself for all options”.
The deal remains shrouded in mystery, with few details so far made public, says our Washington correspondent
The US president says ships are "starting to move" again through the Strait of Hormuz, though BBC Verify analysis suggests we are yet to see a major spike in traffic
US markets opened sharply higher after the news. Oil prices have fallen - and there is "now every chance of avoiding a prolonged energy shock", writes the BBC's Faisal Islam
The deal includes an end to "military operations" in Lebanon, mediator Pakistan says. Iran describes the end of the war there as an "inseparable" part of the agreement.
Israeli Prime Minister Benjamin Netanyahu has been speaking at a press conference from Jerusalem.
He says that while they have saved Israel "from being completely annihilated", the "fight is not over".
But he says that Israel has to "remain vigilant" and "protect and defend ourselves as much as necessary", he says.
Netanyhau next says that Israel "will remain in the security zone as much as necessary in order to protect" Israel. "Israel is stronger than ever, and the Iranian axis of evil is weaker than ever," he adds.