Mediators hailed “encouraging progress” in US-Iran negotiations toward a final peace deal, but major obstacles remain.

Qatar and Pakistan said the two sides had agreed a “roadmap” toward ending the war within 60 days, including a de-escalation mechanism in Lebanon to minimize fighting between Hezbollah and Israel. But Israeli strikes over the weekend raised the temperature, and US President Donald Trump threatened to “hit Iran very hard” if Hezbollah continued attacks.

Oil prices fell on the news of progress, but uncertainty over the status of the Strait of Hormuz — Iran and the US gave conflicting accounts over whether the key waterway was open over the weekend — may have slowed traffic again, The New York Times reported.