Israel and Lebanon agreed to pursue direct negotiations following their first high-level bilateral talks since 1993, held in Washington on Tuesday and mediated by US Secretary of State Marco Rubio. The meeting, involving the Israeli and Lebanese ambassadors to the United States, produced no formal common ground per the State Department readout, but both sides described discussions as productive and agreed to set a future time and venue for talks. Lebanese Ambassador Nada Hamadeh Moawad called it constructive while reiterating demands for a ceasefire and full Lebanese sovereignty over southern territory currently under Israeli occupation. Israeli Ambassador Yechiel Leiter framed the session as a shared effort to roll back Hezbollah's influence. The Washington talks carry weight beyond bilateral terms. The US is managing a two-week ceasefire in its own conflict with Iran and views Israeli-Lebanese escalation as a destabilizing variable after Iran talks in Pakistan failed. Hezbollah launched rockets at more than a dozen northern Israeli towns as the Washington meeting began, signaling it will act as a spoiler. Israel's position, no ceasefire until Hezbollah is dismantled, remains at direct odds with Lebanon's sovereignty demands, leaving the mechanism for any durable agreement unresolved. Foreign ministers from 17 countries including Britain and France called on both sides to advance the process.
Qatar's foreign ministry said mediators including Qatar, Pakistan, and Oman have reached "very progressive stages" in efforts to end the US-Iran war, pushing Brent crude down more than four percent.
Qatar confirmed it is mediating between the US and Iran but said no direct talks are currently planned. The clarification follows conflicting statements from President Trump, who claimed talks are under way, and Tehran, which denied any dialogue is happening.
Saudi Aramco reported sharply higher second-quarter 2026 profits as the Iran war restricts global oil supply and pushes crude prices up. Other oil supermajors also posted outsized earnings, raising concerns about sustained fuel cost pressure for importing economies.
President Trump called current Iran negotiations the "last chance" to end five months of conflict, pushing oil prices higher. Tehran denied formal talks are taking place, raising the risk of a diplomatic breakdown with direct consequences for global energy markets.