Iran closes Strait of Hormuz as US deal unravels
Tehran's move threatens global oil shipments hours after Trump's G7 memorandum.
Iran closes Strait of Hormuz as US deal unravels — Iran announced the closure of the Strait of Hormuz to shipping, calling it a response to actions by the US and Israel.[^1] The statement was issued by the Khatam al-Anbiya headquarters, the IRGC's construction arm, signaling a military-backed decision.[^2] The closure threatens one of the world's most critical oil chokepoints, through which about 20% of global petroleum passes. Cursor reported the move as a direct violation of Iran's recent agreements with the US, while Felesteen framed it as retaliation for Israeli violations in Lebanon.[^3][^1] Hours earlier, during the G7 summit in Versailles, US President Donald Trump insisted on the immediate signing of a memorandum of understanding with Iran.[^4] Tehran released a picture of President Masoud Pezeshkian with a signed copy. Yet the Strait closure suggests the deal's foundation is already cracking. US Vice President JD Vance sent a sharp message to Israeli officials criticizing the agreement, reminding them that American taxpayers subsidize a significant portion of Israel's defense system.[^5] Turkey celebrated the US 'stinging slap' to Israel, according to Cursor.[^6] The Pentagon estimated the cost of the war on Iran at approximately $25 billion so far, with a request for an additional $200 billion in funding facing opposition.[^7] White House Budget Director Russell Vought defended an annual military budget of $1.5 trillion. Meanwhile, the US and Qatar are working to release $6 billion in frozen Iranian funds held in Qatar for humanitarian purchases, as a financial incentive under the deal to end the war. Trump told reporters, "We have taken their money; it isn't our money, it is their money, and we froze it. At a certain point in time, I guess we're going to have to give it back." Iran wants $24 billion released immediately. The Strait closure may complicate those negotiations. Eisenkot Surges, Ben-Gvir Censured, and Netanyahu's Grip Weakens — Gadi Eisenkot, whose party 'Yashar!' exists only on paper with three figures on its list, has surpassed the bloc of Naftali Bennett and Yair Lapid (17 seats) in polls, according to an expert cited by Cursor.[^1]