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Israel continued airstrikes on southern Lebanon, while the IAEA announced inspectors would be allowed back into Iran under a temporary US-Iran peace agreement. Israeli and Lebanese negotiating teams are expected to meet again on Friday.
Iran is ready to resume diplomatic talks with the US if Washington shows genuine seriousness and ensures Israel halts attacks on Lebanon, according to Iranian Deputy Foreign Minister Saeed Khatibzadeh. The statement followed the cancellation of scheduled talks in Switzerland after violent clashes between Israel and Hezbollah in southern Lebanon killed at least 47 people.
President Donald Trump warned Iran that 'all hell will break loose' if it seeks nuclear weapons and criticized Israel's military actions in Lebanon. He spoke during the G7 summit in France, emphasizing a ceasefire deal with Iran and expressing concerns over regional stability.
The war with Lebanon is pushing Israel's economy to the brink of collapse, as the budget deficit surges to 8.6% of GDP and the shekel depreciates. Key sectors like high-tech and tourism are severely affected, while rising military costs force cuts in social spending. International credit downgrades make borrowing harder, leaving Israelis grappling with inflation, unemployment, and a declining quality of life.
Hezbollah leader Hassan Nasrallah vowed to turn the battlefield into hell for Israel and warned of a strong response to any Israeli provocations. The statement came amid rising tensions along the Lebanon-Israel border, with increased clashes in recent weeks. Analysts say the threat could escalate the risk of a broader regional conflict.
