A 10-day ceasefire between Israel and Lebanon has taken effect following direct diplomatic talks between the two countries' ambassadors announced by US President Donald Trump. While a fragile calm has settled over parts of Lebanon and displaced people have begun returning to their destroyed homes, the Lebanese army has accused Israel of repeated truce violations. Hezbollah has acknowledged the ceasefire but warned it has its finger on the trigger in case of further violations. Trump has extended an invitation for Lebanese President Joseph Aoun and Israeli Prime Minister Benjamin Netanyahu to hold their first direct meeting in decades.
Simultaneously, Iranian Foreign Minister Abbas Araghchi declared the Strait of Hormuz completely open to commercial vessels for the remainder of the ceasefire. The announcement caused oil and gas prices, including Brent crude, to tumble by nearly 10%, while two U.S. stock indexes reached all-time highs. President Trump stated that Iran is working with the U.S. to remove sea mines from the waterway, which he described as open and ready for business. Despite this, some analysts remain wary of how quickly the Persian Gulf oil industry can return to normal.
Tensions persist as President Trump affirmed that the U.S. naval blockade on Iranian ships and ports will remain in full force until a deal is reached to end the war. Iran responded by stating it would close the vital waterway again unless the United States lifts its blockade and noted that passage for commercial vessels is restricted to a coordinated route set by Tehran. Additionally, a European-led coalition offered military help to secure safe passage through the strait, though Trump warned NATO members to keep a distance.
US President Donald Trump expressed optimism that a broader peace deal with Tehran is very close, claiming that Iran may also suspend its nuclear programme. However, Iranian officials countered that the two sides still need to overcome serious differences and gaps. While the current truce in Lebanon may remove obstacles for U.S.-Iran peace talks, Tehran signals a renewed risk to the key oil route as diplomatic negotiations continue.