US and Iran set to finalize peace deal by Sunday afternoon

The US and Iran are reportedly expected to announce a peace deal by Sunday afternoon, a development that would cap one of the most volatile diplomatic sagas of the Trump presidency. If it actually materializes, this would be the first formal agreement between the two nations aimed at ending hostilities that have escalated sharply since nuclear negotiations collapsed.

A long road through back channels

The current round of diplomacy traces back to April 2025, when President Trump initiated indirect contact with Iran’s Supreme Leader, Ali Khamenei, through a series of letters. A 60-day deadline was set during those initial discussions. It passed without an agreement.

The talks picked up momentum again in 2026, with Pakistan stepping in as a key mediator. By May 6, 2026, reports surfaced of progress toward a one-page memorandum of understanding, or MOU, that would formally end the ongoing hostilities between the two countries. The framework reportedly addressed three core issues: a formal cessation of conflict, maritime security in the Strait of Hormuz, and a pathway toward further discussions on US sanctions and Iran’s nuclear program.

On May 10, 2026, Iranian officials described the US proposal, which had been relayed through Pakistani mediators, as “realistic and positive.”

By May 11, just one day later, Trump characterized the ceasefire effort as being “on massive life support.” Rejections of key proposals began surfacing from both sides.

Why the Strait of Hormuz matters more than you think

The Strait of Hormuz is the single most important chokepoint for global oil transit. Roughly one-fifth of the world’s petroleum passes through it on any given day. The inclusion of maritime security provisions in the proposed MOU signals that both sides understand the economic stakes extend well beyond their bilateral dispute.

Israel’s military actions in the broader region have added another layer of complexity, repeatedly threatening to derail the process and forcing mediators to navigate not just US-Iran tensions but a web of interconnected security concerns across the Middle East.

The credibility gap

No final agreement was confirmed as of late May 2026, following months of indirect negotiations. The two sides have never sat across from each other at a table. Every proposal, counter-proposal, and rejection has traveled through intermediaries, primarily Pakistan.

The one-page MOU format is itself telling. Both sides appear to be aiming for the narrowest possible document that could plausibly be called a deal, leaving the harder questions about sanctions and nuclear capabilities for future rounds.

Disclosure: This article was edited by Editorial Team. For more information on how we create and review content, see our Editorial Policy.