After weeks of global panic and near total shutdown, Iran suddenly declared the Strait of Hormuz “completely open” in an unexpected shift that is already affecting global markets. Oil prices are already down 10%.

Iran’s Foreign Minister Abbas Araghchi confirmed that all commercial ships can now pass through the strategic waterway, as long as they follow designated routes coordinated with Iranian maritime authorities.

Trump welcomed the announcement, however, he remained firm that the American naval blockade will remain in place until ” our transaction with Iran is 100% complete.

The announcement comes as part of a ceasefire arrangement tied to Israel and Hezbollah.

Just days ago, the situation looked very different. The Strait of Hormuz, which is responsible for roughly a quarter of global oil shipments, had been effectively shut down during the war, with ships turning back, traffic collapsing, and fears of oil prices continuing to rise.

Still, the situation remains fragile. Iran has made clear that the reopening is tied directly to the ceasefire, meaning any renewed escalation could once again threaten passage through the strait. There are rumors of continued talks in Pakistan next week, and even speculation that Trump himself may join.