President Donald Trump issued a stark warning to Iran, stating that failure to agree to a peace deal would result in bombing “at a much higher level.” This ultimatum comes as reports, notably from Axios, suggest the U.S. and Iran are nearing a one-page memorandum of understanding to end the ongoing conflict, a development that initially sent stock markets up and oil prices down.
However, recent hostilities and Trump’s tempered remarks underscore the fragile nature of these diplomatic efforts, even as Pakistan mediates and Iranian officials engage with international counterparts like China.
President Donald Trump issued a stern warning to Iran on Wednesday, stating the nation faces bombing “at a much higher level” if it fails to agree to a peace deal. This declaration comes amidst reports suggesting Washington and Tehran are on the verge of an agreement to de-escalate the ongoing conflict, highlighting the precarious balance of current diplomatic efforts.
In a post on Truth Social, Trump indicated that the U.S. military operation, dubbed Operation Epic Fury, would conclude if Iran accedes to previously agreed terms – an assumption he acknowledged as potentially significant. Such an agreement, he elaborated, would see the lifting of the U.S. naval blockade on Iranian ports in the Gulf of Oman, thereby reopening the critical Hormuz Strait to all shipping, including Iran.
However, Trump unequivocally warned, “if they don't agree, the bombing starts, and it will be, sadly, at a much higher level and intensity than it was before.”
This forceful statement followed an Axios report detailing that the U.S. and Iran were close to finalizing a one-page, 14-point memorandum of understanding aimed at ending the war and establishing a framework for future negotiations. Washington reportedly anticipates Tehran’s feedback on key points within 48 hours.
The news sparked immediate reactions in financial markets, with stock indices climbing and oil prices plummeting, signaling investor optimism for an end to the more than two-month-long conflict.
Despite the hopeful reports, Trump later tempered expectations in an interview with The New York Post, cautioning that it was "too soon" to plan for an in-person peace signing. He reiterated his position to PBS News, stating the war has a "very good chance of ending," but adding a grim caveat: "if it doesn't end, we have to go back to bombing the hell out of them."
Addressing reporters at a Mother’s Day event with military families, Trump expressed confidence in Iran's desire for a deal. “We're dealing with people that want to make a deal very much, and we'll see whether or not they can make a deal that's satisfactory to us,” he said.
Further insights emerged from an Oval Office discussion where Trump mentioned meeting with the chairmen of Exxon Mobil and Chevron, among other oil executives. While the discussion primarily revolved around Venezuela – a nation where the U.S. military intervened earlier to capture President Nicolás Maduro – Trump did not confirm if Iran or the energy supply shocks caused by the closure of the Strait of Hormuz were discussed. These oil companies, he noted, “all want to go there and elsewhere.”
Meanwhile, Iranian Foreign Ministry spokesperson Esmaeil Baqaei informed news outlets that Tehran is reviewing the proposal and will deliver its response via mediators in Pakistan. In an X post, Baqaei emphasized the International Court of Justice’s definition of negotiations, stressing the need for “good faith” and distinguishing it from “dictation, deception, extortion or coercion.”
Iranian Foreign Minister Abbas Araghchi, after meeting with his Chinese counterpart Wang Yi, affirmed Iran's trust in China and their joint commitment to upholding national sovereignty and dignity, hinting at strengthening their strategic partnership.
Earlier, a Pakistani government official told MS NOW that a proposal to end the war was "very likely in the coming days." Axios’ report outlined the potential terms of the memorandum, including Iran's commitment to a nuclear enrichment moratorium, the U.S. lifting sanctions, and both parties retracting controls on shipping through the Strait of Hormuz – terms largely contingent on a final agreement.
A fragile ceasefire between the U.S. and Iran has been in effect since April 7 to facilitate negotiations. However, recent hostilities underscore its delicate nature. Iran reportedly attacked U.S. forces and launched new assaults on the UAE, while the U.S. claimed to have sunk six small Iranian boats and disabled an Iran-flagged oil tanker attempting to breach a U.S. blockade by shooting it with cannon fire, as confirmed by U.S. Central Command on X.
Optimism had briefly surged when Trump announced on Tuesday a pause in “Project Freedom,” a U.S. military operation guiding ships through the Strait of Hormuz, to allow for a peace deal to materialize. “Great Progress has been made toward a Complete and Final Agreement” with Iran, Trump posted on Truth Social.
