The United States and Iran reached an initial agreement Monday that would extend their shaky ceasefire and lead to the reopening of the Strait of Hormuz, but significant challenges remain, including whether Israel will continue its offensive in Lebanon.

President Donald Trump says an agreement with Iran has been reached and the US will end its naval blockade on the country. Follow live updates.

The agreement constitutes the most notable diplomatic development since the strikes on Iran began Feb. 28. American and Israeli forces decapitated the Iranian government by reportedly acting on information that many of the country’s top leaders would be in the same place at the same time.

Pakistan says the United States and Iran have reached an agreement to end the war and open the Strait of Hormuz, offering relief to the global economy more than three months since the war began. Full details of the deal were not immediately available.

Deal to end di fight between di US and Iran dey "scheduled to get signed" on Sunday, according to President Donald Trump. US President Trump say di deal go mean no nuclear weapon, but Iran don cast doubt on di timing.

The tentative deal is expected to reopen the Strait of Hormuz and bring an end to the fighting, but many key details remain unresolved.

World share prices soared Monday after a tentative deal was announced on ending the Iran war and reopening the Strait of Hormuz, while oil prices fell more than $4 a barrel. The future for the S&P 500 was up 1.

Before the US president's comments, Iran expressed caution about the exact timing.