Officials from the United States and Iran, including Donald Trump, have announced a preliminary peace agreement that aims to conclude the 15-week war and bring much-needed stability to the region and global markets.

Iran's Supreme National Security Council secretariat indicated that all combat and military actions across every front, such as Lebanon, would cease for good starting Monday night.

Exact conditions of the accord stay uncertain, yet in a Truth Social post issued Sunday evening the American president declared the strait of Hormuz would open along with lifting the naval blockade imposed by the US. "Ships of the World, start your engines. Let the oil flow!" he stated.

Trump later explained that the strait reopening hinges on signing an initial memorandum of understanding this Friday, an event Pakistan, serving as mediator, indicated would occur in Geneva.

Leaked drafts indicate the memorandum will launch a 60-day stretch of detailed technical discussions covering thorny topics such as Iran's nuclear efforts. Deputy foreign minister Kazem Gharibabadi noted negotiators aim for a wider pact that features sanctions relief for Iran.

Reports of the strait of Hormuz fully reopening, a route handling one-fifth of global oil and gas liquids, lifted stock markets and lowered oil prices Monday morning. Iran had blocked most traffic through the passage early in the fighting.

Trump heads to the French Alps on Monday for talks with leaders from Canada, France, Germany, Italy, Japan and the UK at a G7 summit that could turn tense. The president and aides have faulted European partners for insufficient wartime backing, while several European figures have criticized his choices during the conflict.

US vice-president JD Vance plans to join the signing event. The Iranian side will probably feature parliamentary speaker Mohammad Bagher Ghalibaf, the chief negotiator, and foreign minister Abbas Araghchi.

Pakistani prime minister Shehbaz Sharif, a key mediator in recent talks, revealed the accord Sunday afternoon, noting both parties had agreed to "the immediate and permanent termination of military operations on all fronts, including in Lebanon".

Israel strongly opposed including Lebanon in the accord, where its troops have conducted a broad offensive and seized territory in the south. Trump urged caution Sunday after Israel carried out new airstrikes on Beirut.

Israel prepared for possible Iranian missile responses after the strike hit a structure in Beirut's southern suburbs, killing three and wounding six. Israeli military sources said the target was senior Hezbollah leaders following three projectiles fired by the group, closely linked to Tehran, into northern Israel.

Accounts indicate Trump offered small last-minute adjustments after the Israeli strike, perhaps on the naval blockade timing, to keep the deal moving forward.

Benjamin Netanyahu has issued no formal comment amid a difficult re-election campaign this year. The Israeli leader must now justify to voters why many initial conflict goals went unmet.

Israeli officials are also likely disappointed that neither Iran's backing of militant groups like Hezbollah nor its ballistic missile arsenal appear slated for discussion in final-agreement talks.

Discussions will probably center on Iran's nuclear activities, with Washington urging Tehran to reduce highly enriched uranium holdings and accept fresh limits plus oversight.

Analysts caution that a full accord on such intricate technical matters is improbable inside the brief window, suggesting talks may extend longer.

Iran seeks sanctions relief and access to billions in frozen funds. The US blockade has worsened the nation's struggling economy, making relief vital for policymakers. Inflation has climbed sharply with shortages of everyday items reported.

Additional hurdles may arise, such as disputes over Iran's push for effective tolls, possibly framed as service fees, on strait of Hormuz traffic.

Iran's Mehr state news agency said the memorandum requires the strait to reopen within 30 days under "Iranian arrangements".

The US has long opposed any toll systems on international shipping, including arrangements reportedly explored with Oman.

Opposition to the deal exists inside both Iran and the US, notably from hardline elements tied to Iran's Islamic Revolutionary Guard Corps, whose role expanded during the conflict.

Though the war has become a political burden for Trump, with polls showing public frustration over higher fuel costs ahead of November midterms, some Republicans prefer a firmer stance.

Republican senator Lindsey Graham, a prominent Iran critic, welcomed the deal yet vowed to monitor nuclear talks closely. "Under our law, any nuclear deal with Iran will be sent to Congress for review and a vote," he noted.

Trump told the New York Times that failure by Tehran to secure a nuclear accord could bring renewed military pressure.

Iran insists its nuclear work remains peaceful and has not pledged to relinquish highly enriched uranium thought to be stored under three sites damaged by US strikes last year.

Trump exited the 2015 multilateral pact negotiated by Barack Obama that eased sanctions on Tehran for nuclear curbs and inspections.

In a joint statement the UK, Germany, France and Italy said they stand ready to ease sanctions on Iran after "clear, verifiable steps" to constrain its nuclear program.

Before the announcement a senior Iranian official told Reuters that draft terms include the US releasing $25bn in frozen Iranian assets. The Trump administration has stated any such release would follow Iran meeting specific peace-deal conditions.

Thousands have died in the fighting, most in Iran and Lebanon, since US and Israeli forces struck Iran on 28 February. Iran responded with attacks on Israel and Gulf states hosting US bases, hitting both military and civilian sites.