Axios reports the U.S. and Iran have reached a preliminary memorandum of understanding (MOU) to extend the bilateral ceasefire for 60 days to allow negotiations for permanently ending the war. The MOU states shipping through the Strait of Hormuz will be “unrestricted” and Iran has 30 days to remove all mines. The ongoing U.S. naval blockade of Iranian ports will be lifted “in proportion to the restoration of commercial shipping” through the Strait.
Vice President JD Vance said the U.S. and Iran are “going back and forth on a couple of language points” over issues relating to Tehran’s nuclear capabilities and Iran appears to be negotiating in good faith. However, Treasury Secretary Scott Bessent reiterated President Trump’s three “red lines” are reopening the Strait, Iran surrendering its highly enriched uranium and Iran ending its nuclear program. Stay tuned…
U.S. and Mexican negotiators began formal talks on Thursday to revamp the USMCA trade deal, with Washington demanding stricter regional rules of origin, including a U.S.-specific minimum level of content for cars and trucks built in Mexico. USMCA currently requires 75% of a vehicle’s value to be sourced from North America, with a separate regional value requirement that 40% of North American-built passenger car content come from higher-wage facilities (effectively U.S. and Canada). The U.S. wants to revise the core parts list (currently engines, transmissions, body parts and chassis components) to include electronics modules now largely produced in Asia.
Euro Stoxx 50 +0.5% and S&P & Nasdaq futures +0.15%. DXY dollar index little changed, spot gold +0.9% and spot silver little changed.
Did you know Wealthion offers a variety of services from free portfolio reviews to potential access to private placement investing in the real assets space? Become a Wealthion member and you'll also get exclusive videos, articles and market commentary on the sector for free! Join our Wealthion Community now by clicking below.