President Donald Trump announced Thursday evening that he was canceling planned military strikes against Iran that had been scheduled for that night, citing progress in diplomatic negotiations with Iranian leadership.

Trump posted on social media that the strikes were called off based on discussions with Iran's top leadership, suggesting that a potential agreement was advancing. He indicated that high-level diplomatic talks had reached Iran's highest authorities and received approval, leading to his decision to halt the military action.

The announcement came amid escalating tensions between the United States and Iran, with Trump having previously threatened additional strikes if Iran did not agree to negotiations. Iranian officials had warned that any U.S. military action would receive a severe response from Iran's joint military command.

Oil markets reacted immediately to the news, with crude prices falling sharply after Trump's announcement. Treasury yields also declined as investors moved away from risk assets following the military de-escalation.

Iran's top negotiator had earlier warned against what he termed 'impulsive decisions,' stating that wrong strategies could destabilize energy infrastructure and markets, creating what he described as an 'endless quagmire.' The negotiator cautioned that such actions could reset diplomatic progress and worsen the situation.

The cancellation represents the latest development in ongoing tensions between Washington and Tehran, with both sides appearing to signal interest in diplomatic resolution while maintaining military threats as leverage in potential negotiations.