The United States and Iran have reached an agreement to end their nearly four-month war, with both sides declaring the immediate and permanent termination of military operations on all fronts, including Lebanon. Pakistan Prime Minister Shehbaz Sharif announced the deal on Sunday, noting that Pakistan served as a mediator. The official signing ceremony is scheduled for Friday, June 19, in Switzerland. U.S. President Donald Trump confirmed the deal was complete and stated he would authorize the immediate removal of the U.S. Naval blockade and the toll-free opening of the Strait of Hormuz. While final terms have not been released, Iranian state media reported on Friday that a 14-page draft memorandum includes the U.S. Lifting oil sanctions and a commitment from Iran to reopen the Strait of Hormuz within 30 days. MarketWatch reports that the signing is expected to initiate 60 days of additional talks regarding Iran’s nuclear program. World leaders have welcomed the agreement. The U.K., France, Germany, and Italy, known as the E4, commended the deal as an opportunity to restore regional stability and stabilize the global economy, emphasizing that Iran must never acquire a nuclear weapon. U.K. Prime Minister Keir Starmer called the deal a “hugely important step forward,” while Japanese Prime Minister Sanae Takaichi expressed hope for a final agreement on Iran’s nuclear issue. Australia’s Prime Minister Anthony Albanese stated that reopening the Strait of Hormuz is essential to easing pressure on energy prices. United Nations Secretary-General António Guterres congratulated the parties and expressed appreciation for the roles of Pakistan and Qatar in supporting the talks. The conflict, which began in late February, has caused severe supply constraints for oil, gas, and fertilizers, leading to price rises and inflation. Following the announcement, Brent crude fell about 4% to $83 a barrel and WTI slid 4.8% to $80.8. Christian Noyer, honorary governor of the Bank of France, told CNBC that a finalized deal could ease inflationary pressures “enormously.”