President Donald Trump announced on Truth Social that the Strait of Hormuz blockade remains in full effect, but the naval operation known as Project Freedom will be temporarily paused. This comes after diplomatic efforts led by Pakistan to de-escalate tensions between the U.S. and Iran.
The announcement follows a broader conflict involving U.S.-Israeli airstrikes on Iran and a temporary ceasefire. While Iran has proposed peace terms including sanctions relief, the blockade persists.
Prediction markets view the pause as a bearish signal: the probability of Trump announcing a lifted blockade by May 31 dropped to 32 percent from 57 percent a week ago. Meanwhile, the odds of 20 ships transiting the strait by the end of May now stand at 66 percent, up from 56 percent, reflecting market uncertainty about a full resolution.