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US, Iran inch closer to deal, timing remains unclear

Published by Global Banking & Finance Review

Posted on June 14, 2026

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· Last updated: June 14, 2026

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Trump says Israeli strike on Lebanon should not have happened, but Iran deal close

Main Developments in the U.S.-Iran-Israel-Lebanon Crisis

By Parisa Hafezi and Phil Stewart

Overview of Recent Events

DUBAI/WASHINGTON, June 14 (Reuters) - President Donald Trump criticised an Israeli strike on Lebanon that could complicate attempts to finalise a framework deal between the United States and Iran on Sunday on ending their war, but said an agreement was nonetheless close.

Iranian negotiator Mohammad Baqer Qalibaf said Israel's attack on the southern suburbs of Beirut, which Israel said targeted Iranian-backed Hezbollah militants, showed the United States lacks the will or ability to fulfil its commitments.

Iran's foreign ministry said it holds the United States responsible for Israel's attack in Lebanon. Iran warned of a "strong response." Its top joint military command said the "finger (is) on the trigger" ready to fire at the "enemy's heart". 

Trump's Response

In a post on his Truth Social platform on Sunday, Trump said: "This morning's attack on Beirut should not have happened, particularly on a special day when we are so close to a Peace Deal with Iran." 

"We are very close to a Deal that will bring peace to the region, including to Lebanon, and all sides should stand down," Trump wrote.

Israel-Hezbollah Conflict Reignited

ISRAEL-HEZBOLLAH CONFLICT REIGNITED

The conflict between Israel and Iran-aligned Hezbollah in Lebanon was reignited by the start of the U.S.-Israeli war against Iran in February.

Israel's Position and U.S. Mediation

Israel has said it is not party to the planned U.S.-Iran deal. Prime Minister Benjamin Netanyahu has differed with Trump over American demands that Israel curb its military action in Lebanon to allow the United States to reach a deal with Iran. 

"If you lack the will and ability to fulfil your commitments, speaking of continuing the path is not possible," Qalibaf wrote on X, criticising the United States.

Progress Toward a Deal

Trump and mediator Pakistan said on Saturday they expected the deal would be signed on Sunday, which is the U.S. president's 80th birthday. An official involved in the talks said on Sunday that mediators were optimistic the deal was "nearly over the line." A Kremlin aide said Trump told Russian President Vladimir Putin by phone on Sunday that a deal was near.

Iran cast doubt over the timing even before the strike on Beirut, saying on Saturday that the signing would not be on Sunday though it could happen in the coming days. 

A senior Iranian official told Reuters that, under the terms of the draft deal, the United States would agree to release $25 billion of frozen Iranian assets, while Iran would agree not to produce or acquire nuclear weapons.

Qatari negotiators flew to Tehran on Sunday morning as part of efforts to finalise the agreement, a source with knowledge of the situation told Reuters.

Escalation and Regional Impact

The Israeli military said on Sunday Hezbollah had launched three projectiles towards communities in northern Israel. Israel then fired at what it called Hezbollah targets in the Dahiyeh neighbourhood of Beirut in an attack that Lebanon's civil defence said killed three people.

Fox News quoted an unidentified diplomat involved in the talks as saying the Israeli strikes were complicating efforts to finalise the U.S.-Iran deal, and describing them as an attempt to sabotage those efforts.

Israel did not respond to the assertion. Israel has said it will retain freedom of operations in Lebanon. Iran has made a full ceasefire there an important component of its demands.

In Sunday's post, Trump said there "should be no more attacks by Israel anywhere in Lebanon, but there should also be no more attacks by any other party, including Hezbollah, against Israel".

Uncertainty Over Timing of Signing

UNCERTAINTY OVER TIMING OF SIGNING 

Thousands of people have been killed, mostly in Iran and Lebanon, since the U.S. and Israeli forces began attacks on Iran on February 28. Iran has struck Israel and Gulf states hosting U.S. bases, and has effectively blockaded the Strait of Hormuz, a vital artery for global oil supplies, pushing up global energy prices. U.S. forces have blocked Iranian ports.

Details of the Draft Agreement

Iran's Fars news agency, citing an informed source, said on Sunday Iran has not yet made a final decision on the framework agreement, with reviews of its political, legal and technical aspects under way.

Draft terms described to Reuters by multiple sources indicate the United States would begin releasing frozen Iranian assets and waive sanctions on its oil exports in return for Iran opening the Strait of Hormuz. Iran's nuclear programme would then be addressed during a 60-day period of talks.

The senior Iranian official told Reuters on Sunday that Iran agreed to maintain the nuclear status quo, including no uranium enrichment or expanding nuclear facilities, until a final deal is reached.

A U.S. official said the agreement would ultimately lead to the dismantling of Iran's nuclear programme, with its stockpile of highly enriched uranium to be destroyed and removed.

The senior Iranian official said the draft deal would allow Iran, which denies seeking a nuclear bomb, to dilute its enriched uranium inside the country.

Military and Political Reactions

Pentagon chief Pete Hegseth said the end of the naval blockade on Iran would "start immediately" once an accord is signed, but the timing would depend on the strait reopening. Hegseth said the United States has the capacity to clear the strait to ensure safe transit.

Hegseth, speaking on CBS's "Face the Nation" program, said the United States plans to keep enough military force in the region to "make sure the military option is still there" during negotiations on Iran's nuclear programme.

Public Sentiment in Iran

At pro-government rallies across Iran on Saturday night, residents and news agencies reported that hardliners opposed to the framework agreement loudly voiced their dissatisfaction.

A resident in the northeastern city of Mashhad told Reuters that some protesters chanted "Death to the compromiser," in an apparent reference to Foreign Minister Abbas

Key Takeaways

  • A memorandum of understanding (MOU) between the U.S. and Iran is reportedly finalized and may be electronically signed within 24 hours, according to Pakistan’s prime minister; Iran’s foreign ministry, however, says signing may occur only in the coming days (axios.com).
  • The proposed agreement would extend the ceasefire for 60 days, reopen the Strait of Hormuz without restrictions, lift the U.S. naval blockade, and pave the way for negotiations over Iran’s nuclear program (axios.com).
  • Despite diplomatic progress, military tensions persist: U.S. forces continue shooting down Iranian one‑way attack drones headed for the Strait of Hormuz, highlighting ongoing volatility amid peace efforts (investing.com).

References

Frequently Asked Questions

What is the current status of the US-Iran peace deal?
US and Pakistani leaders expect a deal to be signed soon, while Iran has cast doubt on the exact timing, stating it may not happen immediately.
What impact could the deal have on oil markets?
If agreed, the Strait of Hormuz would reopen, allowing global oil shipments to resume and affecting worldwide oil trade.
Why are Iranian hardliners opposing the agreement?
Hardline groups in Iran believe the framework deal is a compromise and have protested against their government's negotiations with the US.
What are the main terms of the proposed deal?
The memorandum calls for reopening the Strait of Hormuz and lifting the US naval blockade, with technical talks and nuclear negotiations to follow.
How are other countries involved in the negotiations?
Pakistan is mediating, and Group of Seven countries may play a role in post-agreement phases, particularly demining the strait.

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