President Trump declared the US-Iran Memorandum of Understanding “over” on July 8, sending oil prices surging, equities sliding, and bond yields climbing. The announcement, made during a NATO summit in Ankara, Turkey, effectively killed a diplomatic framework that was barely three weeks old.
Oil jumped roughly 5% to $78 per barrel on fears of supply disruptions through the Strait of Hormuz. European stocks dropped 1.1%, the Nasdaq fell between 0.4% and 0.6%, and the dollar strengthened as investors scrambled for safer ground.
A ceasefire that never really stuck
The MOU was signed remotely on June 17, 2026, with Pakistan serving as mediator between Washington and Tehran. It was supposed to establish a 60-day window for negotiating a permanent agreement, including provisions for reopening the Strait of Hormuz and potential sanctions relief.
That window didn’t make it past day 21.
