U.S. Defense Secretary Pete Hegseth confirmed Monday that the ceasefire agreement between the United States and Iran is holding, marking a critical early success in the Trump administration’s diplomatic push.
The ceasefire, which came after weeks of escalating tensions in the Persian Gulf, has allowed shipping through the Strait of Hormuz to resume normal operations. In a significant follow-up, the White House announced a pause to “Project Freedom” — the controversial military operation to escort commercial vessels through the strait — as the administration pivots toward diplomatic negotiations.
Trump indicated he is personally involved in finalizing the broader deal, which reportedly includes provisions on Iran’s nuclear program and regional influence. The move has drawn cautious optimism from European allies, who have long advocated for engagement over confrontation.
Oil prices responded positively, with Brent crude falling as markets priced in reduced geopolitical risk. Analysts note that while the ceasefire is fragile, the simultaneous diplomatic and economic signals suggest both sides are invested in making it stick.