Trump announces 'great settlement' with Iran; Tehran denies final decision

US President Donald Trump on Thursday announced a 'great settlement' in the war with Iran, saying the document could be signed as early as this weekend in Europe. Trump stated that the Strait of Hormuz will open 'as soon as we sign' and that Iran will never possess a nuclear weapon.

However, Iran's Foreign Ministry spokesman Esmaeil Baghaei told state-run IRNA that no final decision has been made and Iran will not compromise on its red lines. Iran's Fars news agency also quoted a source saying no agreement has been reached.

Trump claimed that Iran's Supreme Leader Mojtaba Khamenei has approved the deal, and that Vice President JD Vance will attend the signing. He also cancelled scheduled strikes on Iran, leading to a 3.6% drop in oil prices.

Israel's Prime Minister Benjamin Netanyahu's office stated that Israel is not a party to the memorandum of understanding, but Netanyahu appreciated Trump's commitment to include removal of enriched material, dismantling of enrichment infrastructure, and limits on missile production in the final agreement.

According to Reuters, the Iranian side stresses that talks are ongoing and nothing is finalized. Meanwhile, the US Senate minority leader said Trump is 'incapable of ending the war' in Iran.

Earlier, the US struck a tanker off Oman's coast, killing three Indian seafarers, prompting a strong protest from India.