Iran and Israel Agree to Ceasefire Following US Intervention, With Conditions

Iran and Israel announced on Monday a mutual suspension of direct attacks, following an appeal by US President Donald Trump, in an effort to de-escalate tensions that had threatened to undermine ongoing negotiations to end the three-month conflict.

Tehran, however, cautioned that it would resume hostilities if Israel persisted with its military campaign against the Iran-backed Hezbollah group in Lebanon. The latest exchange represented the most significant direct confrontation between Iran and Israel since April and risked derailing broader diplomatic initiatives led by Washington.

The sequence began with Iran firing missiles toward Israel on Sunday evening, described by Tehran as retaliation for Israeli strikes on Hezbollah positions near Beirut. Israel responded by targeting Iranian air defense systems and a petrochemical facility allegedly linked to ballistic missile production. Iran’s Islamic Revolutionary Guard Corps subsequently claimed a retaliatory strike on a comparable target in Haifa. Authorities on both sides reported no fatalities.

Oil prices surged by as much as 5% amid the exchanges before retreating after Iran indicated the initial wave of strikes had concluded. The US dollar also eased from near two-month highs.

A source familiar with the situation confirmed that Israel had similarly decided to halt its operations against Iran. President Trump stated that both nations sought an immediate ceasefire, noting on social media that “final negotiations on ‘Peace’ are proceeding, subject to ignorance or stupidity getting in its way.”

In a separate interview, Trump disclosed that he had cautioned Israeli Prime Minister Benjamin Netanyahu against further escalation, warning that Israel might have to proceed without US support. Israel’s Ambassador to the United States, Yechiel Leiter, described the relationship between the two leaders as a longstanding friendship spanning four decades, occasionally marked by candid discussions.

The temporary de-escalation occurs against a backdrop of continued fighting in Lebanon, where Israel maintains operations against Hezbollah despite a fragile April ceasefire between the US, Israel, and Iran. Tehran has repeatedly conditioned any comprehensive agreement with Washington on the resolution of hostilities in Lebanon.

Lebanese-Israeli negotiations are scheduled to resume in Washington, according to US Ambassador Michel Issa. Meanwhile, Yemen’s Iran-aligned Houthi movement, which controls strategic territory near the Red Sea, announced it would disrupt Israeli shipping and claimed responsibility for recent missile launches toward Israel. Israeli forces reported intercepting an aerial threat in the Eilat region.

Iranian media reported explosions in Tehran and the downing of a drone, though no significant casualties or damage were confirmed. Commercial flights at Tehran’s Imam Khomeini International Airport resumed on Tuesday.

US and Iranian officials continue indirect communications, albeit in an atmosphere of “extreme suspicion,” according to Iranian Foreign Ministry spokesperson Esmaeil Baghaei. Senior Iranian parliamentarian Ebrahim Azizi warned of a “decisive and costly response” to any threats against Iranian security or its regional allies, including the Houthis.

UN Secretary-General Antonio Guterres called on all parties to exercise maximum restraint to prevent further destabilization.

The original conflict erupted on February 28 with US and Israeli strikes on Iran. A ceasefire was declared on April 8, yet intermittent flare-ups have persisted. President Trump has insisted that any final agreement must preclude Iran from acquiring nuclear weapons. For its part, Iran is seeking the lifting of international sanctions, access to frozen assets, and formal acknowledgment of its role in the Strait of Hormuz, which it has largely closed to shipping since the war began.

While the latest pause offers a momentary reprieve, deep-seated differences and multiple active fronts in the region suggest that achieving a durable resolution will require sustained diplomatic engagement.