U.S. President Donald Trump announced on Thursday that Lebanon and Israel had agreed on a 10-day ceasefire, as optimism grew that the Iran war may be nearing an end.

Trump said in a social media post that the ceasefire would start at 5 p.m. EST (2100 GMT), aiming to halt a conflict between Israel and the Iran-aligned Lebanese group Hezbollah that was reignited by the U.S.-Israeli war against Iran.

He said he had held “excellent conversations” with Israeli Prime Minister Benjamin Netanyahu and Lebanese President Joseph Aoun.

“These two Leaders have agreed that in order to achieve PEACE between their Countries, they will formally begin a 10 Day CEASEFIRE at 5 P.M. EST,” he said. “Both sides want to see PEACE, and I believe that will happen, quickly!”

Trump said he had directed U.S. Vice President JD Vance, Secretary of State Marco Rubio and Chairman of the Joint Chiefs of Staff Dan Caine to work with the two countries to achieve lasting peace.

The war with Iran spilt into Lebanon on March 2, when Hezbollah opened fire in support of Tehran, prompting an Israeli offensive in Lebanon 15 months after the last major conflict.

European Commission President Ursula von der Leyen welcomed the ceasefire announcement, saying on X: “This is a relief, as this conflict has already claimed far too many lives.”

BREAKTHROUGH ON ‘STICKY ISSUES’ BETWEEN U.S. AND IRAN

Thousands of people have been killed, mostly in Iran and Lebanon, since U.S.-Israeli attacks on Iran began on February 28, triggering Iranian airstrikes on Iran’s Gulf neighbours and reigniting the Israel-Hezbollah conflict.

Soaring energy costs have rattled investors and policymakers globally since Iran effectively closed the Strait of Hormuz, through which a fifth of the world’s oil and gas supply flows.

Closure of the strait has caused the worst oil price shock in history and forced the International Monetary Fund to downgrade its outlook for the global economy, warning prolonged conflict could push the world to the brink of recession.

But hopes of a deal between Iran and the United States have been growing, with a two-week ceasefire in force.

A security source said a Pakistani mediator had made a breakthrough on “sticky issues”, although Tehran said the fate of its nuclear program had not been resolved. Trump has said the accord would open the Strait of Hormuz.

Pakistan’s army chief, Field Marshal Asim Munir, an important figure in mediation efforts, arrived in Tehran on Wednesday to try to prevent a renewal of the conflict after talks in Islamabad that ended without a deal.

A senior Iranian official told Reuters on Thursday the trip had led to greater hopes for a second round of talks and an extension of a two-week ceasefire, but said fundamental differences remain over its nuclear program.

‘LOCKED AND LOADED’

U.S. Defense Secretary Pete Hegseth said troops were poised to restart combat operations if a deal was not reached with Iran.

“We are reloading with more power than ever before, and better intelligence,” Hegseth told a Pentagon briefing. “We are locked and loaded on your critical dual-use infrastructure, on your remaining power generation, and on your energy industry. We’d rather not have to do it.”

But a security source told Reuters a deal was closing in and that the U.S. wants a breakthrough before the ceasefire expires next week. Washington is offering to lift sanctions and unfreeze billions of dollars’ worth of Iranian assets, he said.

Iran will open the strait only if a permanent ceasefire is reached and there are United Nations guarantees that the U.S. and Israel will not attack again in future, he said.

“We hope that the field marshal will have a draft in his hand when he flies out of Tehran,” the source said.

A separate government source said the talks would be held “soon” in Islamabad although no date has been set.

Stock markets have rallied strongly in recent days on expectations of a swift resolution to the fighting, with global equities vaulting past their previous all-time highs in trading on Thursday. However, oil prices gained, showing continued uncertainty about the ceasefire prospects and the opening of the strait.

Iran’s nuclear ambitions were a sticking point at last weekend’s talks. The U.S. proposed a 20-year suspension of all nuclear activity by Iran – an apparent concA 10-day ceasefire between Lebanon and Israel went into effect on Thursday and President Donald Trump said the next meeting between the United States and Iran may take place over the weekend, adding to optimism that the Iran war could be nearing an end.

Trump said Iran had offered not to possess nuclear weapons for more than 20 years. Tehran’s nuclear ambitions were a sticking point at talks in Islamabad last weekend.

“We’re going to see what happens. But I think we’re very close to making a deal with Iran,” he told reporters outside the White House.

Hours later at an event in Las Vegas, Nevada, Trump went further, saying the war “should be ending pretty soon.”

The war with Iran, which began on February 28 with a U.S.-Israeli attack, has killed thousands and sent oil prices surging, creating a major political headache for the U.S. president.

If the Lebanon ceasefire clears the way for a broader peace deal with Iran, it would be a significant win for the Trump administration, which has struggled so far to reopen the strategically important Strait of Hormuz and block Iran’s path to a nuclear weapon.

Celebratory gunfire rang out across parts of Beirut as the clock struck midnight on Thursday, the time the ceasefire was set to go into effect. For around half an hour, the sound of explosions from rockets fired in celebration could also be heard, witnesses said.

But the pause in hostilities remained fragile.

The Lebanese Army said early on Friday that Israel committed violations of the ceasefire after it took effect, including the intermittent shelling of several southern Lebanese villages.

There was no immediate comment from the Israeli military, which had said earlier that its forces remained deployed in the area. In a post on X, Arabic-language military spokesperson Avichay Adraee said the deployment was in response to what he described as continued Hezbollah militant activity.

Hezbollah released a lengthy statement detailing what it described as its military operations against Israel throughout Thursday, which showed that its last attack came at 11:50 p.m. local time, 10 minutes before the ceasefire took effect.

Trump later issued a social media post urging Hezbollah to respect the ceasefire.

“I hope Hezbollah acts nicely and well during this important period of time. It will be an GREAT moment for them if they do. No more killing. Must finally have PEACE!” he said.

FURTHER ISRAEL-LEBANON TALKS PLANNED

Trump said in his earlier remarks to reporters that he thought the U.S. had a chance of a deal with Iran.

“And if that happens, oil goes way down, prices go way down, inflation goes way down, and … much more importantly than even that, you won’t have a nuclear holocaust,” he said.

The president said he was not sure a two-week ceasefire agreed with Iran last week would need to be extended beyond next week, adding that Tehran wanted to make a deal.

“We have a very good relationship with Iran right now, as hard as it is to believe. And I think it’s a combination of about four weeks of bombing, and a very powerful blockade.”

Conflict between Israel and the Iran-aligned Lebanese group Hezbollah was reignited by the U.S.-Israeli war with Iran. Hezbollah opened fire in support of Tehran on March 2, prompting an Israeli offensive in Lebanon 15 months after their last major conflict.

Trump said he had held “excellent conversations” with Israeli Prime Minister Benjamin Netanyahu and Lebanese President Joseph Aoun and planned to invite them both to the White House for “meaningful talks”.

He said later that the White House meeting could take place over the next week or two, and that if an Iran deal was reached and signed in Islamabad, he might travel there for the occasion.

Trump said he had directed U.S. Vice President JD Vance, Secretary of State Marco Rubio and Chairman of the Joint Chiefs of Staff Dan Caine to work with Israel and Lebanon to achieve lasting peace.

Iran welcomed the ceasefire in Lebanon, saying it was part of an understanding reached with the United States and mediated by Pakistan, Iranian media reported, citing a statement by a Foreign Ministry spokesperson.

SIGNS OF POSSIBLE COMPROMISE ON NUCLEAR ISSUES

Closure of the Strait of Hormuz, through which a fifth of the world’s oil and gas supply flows, has caused the worst oil price shock in history and forced the International Monetary Fund to downgrade its outlook for the global economy, warning prolonged conflict could push the world to the brink of recession.

At last weekend’s talks, the U.S. proposed a 20-year suspension of all nuclear activity by Iran – an apparent concession from longstanding demands for a permanent ban. Tehran suggested a halt of three to five years, according to people familiar with the proposals.

Washington has pressed for any highly enriched uranium (HEU) to be removed from Iran. Tehran has demanded that international sanctions against it be lifted.

Two Iranian sources said there were signs of a compromise emerging on the HEU stockpile, with Tehran considering shipping part, but not all, of it out of the country, something it had previously ruled out.

A diplomatic source said the key Pakistani mediator, Army chief Asim Munir, arrived in Tehran on Wednesday and had made a breakthrough on “sticky issues”, although Tehran said the fate of its nuclear program had not been resolved. Trump has said the accord would open the Strait of Hormuz.

A senior Iranian official told Reuters that Munir’s trip had led to greater hopes for a second round of talks and an extension of the ceasefire, but said fundamental differences remain over the nuclear program.

U.S. Defense Secretary Pete Hegseth said troops were poised to restart combat operations if a deal was not reached.

A Pakistani security source told Reuters that Washington was offering to lift sanctions and unfreeze billions of dollars’ worth of Iranian assets to secure a deal.

However, the source added that Iran would open the strait only if a permanent ceasefire is reached and there are United Nations guarantees that the U.S. and Israel will not attack again in the future.ession from longstanding demands for a permanent ban. Tehran suggested a halt of three to five years, according to people familiar with the proposals.

Washington has pressed for any highly enriched uranium (HEU) to be removed from Iran. Tehran has demanded that international sanctions against it be lifted.

Two Iranian sources said there were signs of a compromise emerging on the HEU stockpile, with Tehran considering shipping part, but not all, of it out of the country, something it had previously ruled out.