Negotiators from the United States and Iran reached an agreement on Thursday, May 28, 2026, to extend the ceasefire in the three-month-long conflict by 60 days. A new round of negotiations regarding Iran's nuclear program has also been agreed upon, according to a U.S. official. Iran has not yet confirmed the agreement, but Vice President JD Vance confirmed that a tentative deal exists, though it remains uncertain whether U.S. President Donald Trump will approve it.
Vance: Hard to Say When President Will Sign
“It’s hard to say exactly when or if the president’s going to sign,” Vance told reporters. The memorandum reportedly prohibits Iran from imposing fees for passage through the Strait of Hormuz and obligates Iran to remove all mines from this critical maritime route within 30 days.
Impact on Global Oil Markets
During the conflict, Iran closed the strait, which serves as the passage for about one-fifth of the world's oil and natural gas trade. The closure caused a sharp rise in global oil prices. However, U.S. Treasury Secretary Scott Bessent expressed confidence during a press briefing that oil prices could "drop suddenly" if the agreement becomes final.
Under the tentative deal, the United States would gradually lift its naval blockade of Iranian ports and agree to ease economic sanctions to allow Iran to sell more oil.
