Main developments

• The ceasefire in the Middle East appeared fragile, with Iran threatening to withdraw over a wave of Israeli attacks in Lebanon.

• US President Donald Trump has dispatched a delegation led by vice-president JD Vance, Middle East special envoy Steve Witkoff and the president’s son-in-law Jared Kushner to Islamabad for talks this weekend.

• Vance said Iran’s expectation that Israel would halt its bombardment of Lebanon as part of the two-week ceasefire deal stemmed from a “legitimate misunderstanding”.

• Mohammad Bagher Ghalibaf, Iran’s parliamentary Speaker, said the ceasefire agreement had been breached three times, making the upcoming talks “unreasonable”, while a senior military commander said Tehran was “preparing to respond” to Israeli attacks in Lebanon.

• Iran also halted tanker traffic through the Strait of Hormuz in response to strikes it said violated the terms of the truce.

• Israel said it did not consider the ceasefire to include Lebanon while Trump also said the country was “not included in the deal”.

• Pakistani Prime Minister Shehbaz Sharif, a critical figure in brokering the deal, called on the US, Israel and Iran to “respect” the ceasefire.

• Gulf states continued to face attacks. Saudi Arabia’s East-West pipeline that carries crude from the Gulf to the Red Sea was struck.

• Wall Street’s S&P 500 closed 2.5 per cent up while the technology-heavy Nasdaq Composite gained 2.8 per cent. Brent, the international crude benchmark, fell more than 13 per cent to settle at $94.75 a barrel.