Trump cancels Iran strikes as mediators claim deal close

President Trump announced that he canceled planned strikes against Iran on Thursday and claimed Iran's leadership "approved" a draft agreement that would extend the ceasefire, reopen the Strait of Hormuz and launch 60 days of negotiations on Iran's nuclear program. Why it matters: Trump has claimed an agreement was close multiple times before, and Iran has not publicly confirmed any agreement. However, three sources briefed on the talks told Axios that key gaps were narrowed during talks between Iranian officials and Qatari mediators on Wednesday. Iran's Fars news agency denied any deal had been agreed, but said there was a "possibility" Tehran would consider signing off.What he's saying: "Based on the fact that discussions with the Islamic Republic of Iran have been brought to the highest level of Iranian leadership and approved, I have, as President of the United States of America, cancelled the scheduled strikes and bombings against Iran this evening," Trump wrote on Truth Social. He added that the final points of the deal have been, "in both concept and great detail, approved by all parties involved," including the U.S., Israel, Saudi Arabia, UAE, Qatar, Turkey, Pakistan, Bahrain, Kuwait, Jordan and Egypt. "The Naval Blockade will remain in full force and effect until this Transaction is finalized — Time and place of the signing to be announced shortly," Trump added. The other side: Fars, a semi-official news agency affiliated with Iran's Revolutionary Guards, quoted an "informed source close to Iran's negotiation team" as saying that "no text for a preliminary memorandum of understanding with the United States has been approved."But a later report claimed the U.S. had accepted "Iran's proposed text," and as a result the regime could "reconsider and review the agreement once again."Behind the scenes: Negotiations continued late into Wednesday night in Tehran as Qatari envoy Ali Al-Thawadi and Iranian Foreign Minister Abbas Araghchi worked to bridge the remaining gaps between the U.S. and Iran.According to three sources briefed on the talks, the Qataris and the Iranians believed on Wednesday that they had reached an agreed-upon text that the U.S. would also accept. The sources said the gaps were narrowed on three key issues:The mechanism for releasing Iran's frozen assets — the most important issue for the Iranians.Arrangements for reopening the Strait of Hormuz during the 60-day ceasefire period.How negotiations over Iran's nuclear program would be conducted during the 60-day ceasefire period.According to the sources, Iranian officials told several countries on Thursday that the Tehran talks produced an agreement in principle, but Supreme Leader Mojtaba Khamenei still needed to give final approval.The sources noted that both the Iranians and the Qataris had emphasized that the U.S. strikes overnight significantly increased Iranian suspicions about Trump's real intentions.Earlier on Thursday, Trump had announced the U.S. would "be hitting Iran VERY HARD TONIGHT."What to watch: The White House has believed a deal was imminent at several points during the conflict, only to see negotiations break down again.Go deeper: Trump boils over after Tehran kept him waitingThis is a breaking news story and has been updated throughout.