BREAKING: Trump Signs Historic US-Iran Peace Deal at Versailles as Strait of Hormuz Reopens

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President Donald Trump and Iranian President Masoud Pezeshkian have signed a landmark memorandum of understanding aimed at ending hostilities between the United States and Iran, marking a major diplomatic breakthrough after months of escalating tensions.

The agreement was signed on Wednesday, June 17, with Trump putting his signature on the document shortly before a state dinner hosted by French President Emmanuel Macron at the Palace of Versailles in France. Pezeshkian signed the same document from Tehran, while a more formal ceremony involving U.S. Vice President JD Vance is expected to take place in Geneva later this week.

The memorandum outlines a framework for de-escalation between the two nations and seeks to prevent further military confrontation in the Middle East. It also establishes a pathway for broader negotiations over Iran’s nuclear program, regional security, and international sanctions.

Speaking after the signing, Trump described the agreement as a major victory for peace and economic stability, arguing that failure to reach a deal could have triggered severe global economic consequences.

“No U.S. president has ever been tougher on Iran than I have,” Trump said. “The alternative would have been a worldwide depression. The market loves this deal because it brings stability.”

One of the most significant provisions in the agreement concerns the Strait of Hormuz, one of the world’s most important oil shipping routes. Under the terms of the memorandum, commercial vessels will be allowed toll-free passage through the strategic waterway for 60 days as negotiations continue.

The agreement also includes plans to ease restrictions on Iranian oil exports and could pave the way for the release of frozen Iranian assets and the eventual lifting of international sanctions, depending on future negotiations and compliance measures.

In exchange, Iran has reportedly agreed to restrain regional allied groups, including Hezbollah, and reaffirmed its commitment not to pursue the development of nuclear weapons.

However, Iranian officials have portrayed the agreement differently. Iran’s chief negotiator, Mohammad Bagher Ghalibaf, described the memorandum as evidence of what he called American failure in the region.

“The agreement is a record of U.S. failure. People will see it and judge,” Ghalibaf said.

Despite the optimism surrounding the signing, analysts note that the document is a memorandum of understanding rather than a final peace treaty. Key issues remain unresolved, and both sides are expected to engage in intensive negotiations over the coming weeks.

Global markets responded positively to news of the agreement, with investors hopeful that reduced tensions in the Gulf region will help stabilize energy supplies and lower the risk of disruption to international trade.

The deal represents one of the most significant diplomatic developments between Washington and Tehran in decades and could reshape political and economic relations across the Middle East if successfully implemented.