Israel and Lebanon have agreed to renew their shaky ceasefire, bolstering hopes for an eventual peace deal between the U.S. and Iran.

An agreement between Washington and Tehran has been contingent upon a cessation to fighting in Lebanon, where U.S.-aligned Israeli forces have been battling Iran-backed Hezbollah militants. 

Following a fourth round of U.S.-mediated discussions, both Israel and Lebanon said the truce would be "contingent on a complete cessation of Hezbollah fire and the evacuation of all Hezbollah operatives" from areas south of the Litani River in southern Lebanon.

"These steps will enable progress towards a comprehensive peace and security agreement," a joint statement said.

Hezbollah, notably, did not take part in the negotiations.

Brent crude futures, the global oil benchmark, edged down in the wake of the ceasefire announcement, sliding by 1.3% to $96.55 a barrel. 

U.S. won’t resume Iran attacks unless American forces killed, Trump tells aides - WSJ

U.S. President Donald Trump privately told his aides that he would consider ending the ceasefire with Iran if American troops were killed, the Wall Street Journal reported on Wednesday evening. 

Trump’s comments come after the U.S. and Iran traded a series of air strikes over the past week, testing an already tenuous ceasefire between the two countries.

The U.S. largely described the recent attacks as “self-defense,” while Iran accused Washington of violating their ceasefire. But, according to the WSJ report, U.S. officials insisting that the ceasefire remained intact despite recent hostilities. 

At least 15 U.S. service members have been killed and 543 injured in the Iran war, the U.S. military said. Iranian casualties are estimated to be at least above 6,000. 

Trump had earlier this week intervened to call off Israeli plans for a military offensive in Lebanon after Iran said the attack threatened diplomatic progress. 

Iranian media reports said that Tehran had halted indirect negotiations with the United States. Trump has repeatedly claimed that talks with Iran remained in progress, and recently said a peace deal could be achieved soon. 

Iran’s nuclear ambitions have remained a key point of contention, with Tehran repeatedly rejecting demands from the U.S. to hand over its enriched uranium.

Iran has kept the Strait of Hormuz largely blocked amid recent hostilities, while the U.S. maintained its naval blockade against the country’s ports.  

Trump has signaled that he is in no hurry to achieve a peace deal, saying in a podcast interview published Wednesday that the U.S. blockade could last until the U.S. Labor Day in September.

Trump and his administration had earlier vowed the Iran conflict would last no more than six weeks. The war entered its fourth month this week. 

Yet the White House appears to be facing escalating demands at home to end the war. The House of Representatives, despite being controlled by Trump’s Republican party, voted in favor of a resolution blocking the president from continuing the conflict on Wedndesday. The measure still needs Senate approval, as well as the backing of two-thirds majorities in both chambers to override a veto from Trump.