President Donald Trump announced Wednesday that the tentative ceasefire and memorandum of understanding with Iran has ended [1].
The collapse of the truce increases the risk of a full-scale military conflict in the Middle East and threatens global energy stability. The announcement comes as both nations exchange firepower, ending a period of fragile diplomacy.
Trump made the declaration during a NATO summit in Turkey on July 8, 2026 [2]. He said the decision followed dozens of strikes exchanged between U.S. and Iranian forces overnight [3]. The president said previous negotiations were a waste of time and the truce could no longer continue [3].
"Ceasefire with Iran is over, we're going to hit them hard again tonight," Trump said [1].
In other statements regarding the termination of the agreement, Trump said, "The truce is over" [2]. He said the tentative ceasefire with Iran is done [4].
The market responded immediately to the escalation of hostilities. Oil prices rose by five percent following the statement [1].
While some reports suggested a peace deal might be signed later this week, the president's statements at the summit explicitly terminate the current ceasefire [1, 5].
“"Ceasefire with Iran is over, we're going to hit them hard again tonight."”
The termination of the memorandum of understanding removes the primary diplomatic barrier preventing direct military engagement between the U.S. and Iran. By announcing this during a NATO summit, the U.S. signals to its allies that it is prioritizing a hardline security posture over negotiated settlements, while the immediate spike in oil prices highlights the global economic vulnerability to instability in the region.
