US lawmaker says Democrats should back Iran ceasefire deal

Japan welcomed on Monday the announced memorandum of understanding between the United States and Iran on ending the war, calling it a major step toward resolving the crisis.

Prime Minister Sanae Takaichi said Japan had actively pursued diplomatic efforts, arguing that the most important priority was to calm the situation as soon as possible.

She said Japan expected the MOU to be steadily implemented, free and safe navigation through the Strait of Hormuz to be secured, and a final agreement on Iran’s nuclear issue to be reached as soon as possible.

Iran secured changes to provisions related to the administration of the Strait of Hormuz and added guarantees for Lebanon’s sovereignty and territorial integrity during the final days and hours of negotiations over a memorandum of understanding with the United States, Iran’s IRGC-affiliated news agency Tasnim reported, citing an informed source.

According to the source, issues related to the management of the strategic waterway were among the final elements revised in the text after proposals from Tehran led to changes in the draft agreement.

The source also said that language “guaranteeing Lebanon’s sovereignty and territorial integrity” was added to the memorandum in the final hours of negotiations.

Tasnim reported that the inclusion of the Lebanon clause played a significant role in Iran’s decision not to carry out what it described as a planned military response to an Israeli strike on Beirut’s southern suburbs, known as Dahiyeh.

The source said Tehran viewed the provision as a concession benefiting Lebanon and one that helped avert further escalation.

A senior US official rejected Iranian claims that Tehran would receive billions of dollars in frozen funds before negotiations on a final agreement begin, calling the characterization a "spin."

Speaking to Axios, the official denied reports that Iran would gain unconditional access to $12 billion in blocked assets before the start of the 60-day negotiating period.

"This is completely not true," the official said. "This is a pay-for-performance deal and no frozen funds will be released without the Iranians implementing their commitments."

Iranian officials have said final negotiations will begin only after key commitments are implemented, including the release of some frozen assets and the lifting of the maritime blockade.

Turkish President Recep Tayyip Erdogan welcomed the agreement between the United States and Iran, calling it an important step toward peace and stability in the Middle East.

"I view the agreement reached between the United States and Iran as an important development for establishing peace and tranquility in our region," Erdogan said in a post on X.

He said he hoped the agreement would pave the way for a lasting environment of peace and security across the region.

"I emphatically underscore the need to avoid rhetoric, provocations, and actions that could escalate tensions in the period leading up to the signing of the agreement, and to remain vigilant against possible sabotage," he said.

Oil prices and the dollar fell after confirmation of a peace agreement between the United States and Iran boosted investor confidence and eased concerns about global energy supplies.

Brent crude dropped 4% to $83.80 a barrel, extending losses after news of the deal and moving further away from its May peak of $126.41. US crude fell 4.3% to $81.23 a barrel, though it remained well above pre-war levels.

Investors had largely expected a deal in recent days, but confirmation of the agreement appeared sufficient to trigger a broader move into risk assets and reduce demand for traditional safe havens.

Equity markets reacted positively. S&P 500 futures rose 0.8% and Nasdaq futures gained 1.4%, while Japan's Nikkei futures jumped 2% to 68,685, well above Friday's cash close of 66,020.