US-Iran Swiss peace summit called off
By Abigail Townsend
Date: Friday 19 Jun 2026
(Sharecast News) - Plans for the US and Iran to formally sign a deal to end war in the Middle East have been abruptly called off.
A hard-fought 14-point deal was agreed last weekend. It was then signed electronically earlier in the week, with the two countries due to formally sign the memorandum of understanding in the mountaintop resort of Burgenstock on Friday, alongside mediators Pakistan and Qatar.
But in a brief statement, Switzerland's foreign ministry confirmed the talks would no longer go ahead. It did not provide further details other than to state it remains "fully committed to its efforts to promote dialogue".
US Vice president JD Vance also dropped plans to travel to the country at the last minute, with a White House spokesperson saying late on Thursday night: "The logistics of these negotiations have never been simple or predictable." The White House added that the US looked forward to "beginning technical talks as soon as possible".
There was no official response from Iran, although state media reported that no delegation would travel to Switzerland until the US implemented the interim deal. News outlets in the Middle East also reported that Tehran had opted to not send a delegation following the latest Israeli attacks in Lebanon.
The US and Iran agreed to an immediate cessation of all hostilities. However, US ally Israel - which was not involved in the peace talks - has continued to trade blows with Hezbollah in south Lebanon.
The MoU extends the existing fragile ceasefire for a minimum of 60 days, allowing a final deal to be negotiated.
Under the interim deal, the Strait of Hormuz - through which around 20% of the world's oil supply normally passes - will instantly reopen. It has been effectively shut since early April, sending global energy costs soaring and depleting inventories.
The US has also agreed to terminate sanctions on Iran, grant a waiver allowing the country to export oil during the 60-day period and pay $300bn towards Iran's reconstruction.
The final settlement will be dependent on the two countries agreeing a nuclear deal, however.
Oil, which fell sharply at the start of the week, crept higher. As at 0900 BST, Brent crude - which was trading just above $70 a barrel mid-week - stood at $80.02, while West Texas Intermediate was up 1% at $77.59.
Kathleen Brooks, research director at XTB, said: "Market euphoria that a deal had been reached has shifted to some scepticism, as the deal is only interim and is not a peace treaty. There are also concerns about some aspects of the deal, including what it means for Iran's Gulf neighbours."
Rabobank said: "Even if the water appears calmer, there is still a strong undertow. The agreement remains fragile on multiple fronts. When talks do happen, the future status of the Strait of Hormuz may remain another contentious issue."
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