Trump defends Iran peace deal as critics zero in on $300bn reconstruction plan
The US-Iran framework commits both sides to further talks over the next 60 days and outlines a $300 billion plan for Iran’s reconstruction. President Donald Trump pushed back against critics, including some Republicans, who say Washington gave up too much on the Strait of Hormuz and the nuclear file.
President Donald Trump used a White House appearance to defend the US-Iran memorandum of understanding signed by both leaders, calling it a "historic breakthrough." The text gives Washington and Tehran 60 days to negotiate a final framework covering Iran’s nuclear programme and the lifting of sanctions, and is paired with a $300 billion multilateral fund to rebuild the Iranian economy after months of war.
The pushback came from both sides of the aisle. Republican Senator Tom Cotton and several former defence officials argued that the deal does not lock in firm guarantees over the Strait of Hormuz, where commercial traffic remains depressed. Trump countered that the agreement "saved the region from another endless war" and accused critics of "refusing to take yes for an answer." Analysts speaking to CNBC said the still-undefined inspection regime will keep markets cautious for weeks.
Markets reacted in measured fashion. Brent crude steadied around $78 a barrel, while the dollar index slipped only modestly. Domestic politics are now firmly in play: ahead of the midterms, Iran has become one of the most visible fault lines between the Trump wing of the Republican Party and its traditional hawks.
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