HEADLINES

• The White House reportedly believes it may soon have an agreement with Iran on a one-page memorandum of understanding to end the war and set a framework for more detailed nuclear negotiations. READ MORE BELOW

• US Secretary of State Marco Rubio said that the US has completed its offensive operations against Iran. READ MORE BELOW

• China's Foreign Minister Wang Yi called for an end to hostilities in the Middle East and for the United States and Iran to reopen the Strait of Hormuz "as soon as possible", during talks with Iranian counterpart Abbas Araghchi. READ MORE BELOW

• President Donald Trump said Tuesday he was halting the US military operation to escort ships through the Strait of Hormuz after just one day. READ MORE BELOW

• Oil prices fell on Wednesday, while European shares advanced to a two-week high.

• French shipping company CMA CGM said one of its vessels was targeted by an attack in the Strait of Hormuz, injuring crew members.

• Israel's military issued an evacuation warning for a dozen villages in south Lebanon ahead of expected strikes, despite a truce with Lebanon.

• The UAE said it was under attack from Iranian missiles and drones on Tuesday, even as Washington said a shaky ceasefire was intact.

IN DETAIL

Rubio declares operation 'over'

"The operation is over -- Epic Fury -- as the president notified Congress. We're done with that stage of it."

These were the words of US Secretary of State Marco Rubio on Tuesday, saying that the United States had achieved its objectives in its military campaign against Iran.

Rubio called the effort to ensure safe passage for oil transit in the Strait of Hormuz a separate, smaller, defensive operation.

Rubio told reporters: "The Operation Epic Fury is concluded. We achieved the objectives of that operation. I'm not going to, you know - we're not cheering for an additional situation to occur. We would prefer the path of peace. What the president would prefer is a deal."

One-page memo 'close'

The White House believes it is getting close to an agreement with Iran on a one-page memorandum of understanding to end the war and set a framework for more detailed nuclear negotiations, Axios reported on Wednesday, citing two US officials and two other sources briefed on the issue.

The US expects Iranian responses on several key points in the next 48 hours according to the report which cautioned that nothing has been agreed yet but said this was the closest the parties had been to an agreement since the war began.

Among other provisions, the deal would involve Iran committing to a moratorium on nuclear enrichment, the US agreeing to lift its sanctions and release billions in frozen Iranian funds, and both sides lifting restrictions around transit through the Strait of Hormuz, Axios said.

A Pakistani source confirmed to Reuters that the single-page deal was close.

Top Iranian and Chinese diplomats meet

Iranian Foreign Minister Abbas Araqchi met China's top diplomat in Beijing on Wednesday.

Araqchi's visit, announced by state news agency Xinhua, is his first trip to China since the US-Israeli war on Iran set off the most severe global oil supply shock in history, threatening the energy security of China, the world's top crude importer.

The Chinese foreign ministry said after the talks that "the current regional situation is at a critical juncture of transition from war to peace," adding that "China believes that a complete cessation of hostilities is imperative, restarting the conflict is unacceptable and persisting in negotiations is particularly important."

It also urged the "parties involved" to promptly restore "normal and safe passage" through the Strait of Hormuz. 

Trump pauses naval mission

US President Donald Trump has paused a three-day-old naval mission tasked with reopening the Strait of Hormuz that had shaken the war's month-old ceasefire.

Trump's 'Project Freedom', announced on Sunday, had failed to bring about any significant resumption of traffic through the waterway, while provoking a new wave of Iranian strikes on ships in the strait and on targets in neighboring countries.

In announcing he was pausing the mission, Trump cited "great progress" in negotiations with Iran, without giving further details.

"We have mutually agreed that, while the Blockade will remain in full force and effect, Project Freedom (The Movement of Ships through the Strait of Hormuz) will be paused for a short period of time to see whether or not the Agreement can be finalized and signed," Trump wrote on social media.

Trump had launched the naval mission to guide ships through the strait after saying he was likely to reject Iran's latest proposal. The Iranian offer, made last week, calls for setting aside discussion of nuclear issues until after the war ends and the shipping dispute is resolved.

Iran has effectively shut the strait to all shipping apart from its own since the United States and Israel launched the war on February 28. In April, Washington imposed its own separate blockade of Iranian ports.

Trump's Project Freedom mission to use the US Navy to open the strait failed to persuade merchant ships that it was safe, while provoking new attacks from Iran, which said it was expanding the area under its control to include swathes of the coastline of the United Arab Emirates, on the strait's far side.

While the mission was in effect, Iranian drones and missiles hit several ships in and around the strait, including a South Korean cargo vessel that reported an explosion in its engine room.