U.S. President Donald Trump and the President of Iran signed a 14-point peace protocol at the Château de Versailles on June 19-20, 2026 [1, 2].
The agreement aims to end the long-standing conflict between the two nations and stabilize global energy markets. By addressing the flow of oil and nuclear capabilities, the protocol seeks to lower energy costs and reduce geopolitical tension in the Middle East.
Central to the deal is the reopening of the Strait of Hormuz [3]. Under the terms, Iran will be permitted to sell its oil freely on the global market [3]. Additionally, the protocol requires Iran to dilute its stockpiles of highly enriched uranium [1, 2].
President Trump addressed critics of the deal, linking the diplomatic move to economic gains. He said that those who believe he was not tough enough on Iran are either jealous, dishonest, or stupid, noting that the stock market has reached a record high [4] and oil prices are falling [4].
Reports on the legal status of the protocol vary. Some sources indicate the agreement is immediately in effect [3], while others suggest the deal was largely negotiated but still requires finalization [2]. There are also differing accounts regarding the signing process, with some reports stating both presidents initialed the protocol [2] and others stating President Trump declared he signed the accord [3].
The meeting took place over the night of Wednesday to Thursday, marking a significant diplomatic shift for the Trump administration's approach toward Tehran [1, 2].
“The agreement includes reopening the Strait of Hormuz, allowing Iran to sell oil freely.”
The reopening of the Strait of Hormuz is a critical economic lever, as it is one of the world's most important oil transit chokepoints. By combining the removal of oil sanctions with nuclear concessions, the U.S. is attempting to trade economic relief for security guarantees, though the conflicting reports on the agreement's immediate legality suggest potential hurdles in implementation.
