Trump says Iran MoU 'over' but signals negotiations to continue

US President Donald Trump continues to threaten Iran, telling reporters at the end of the NATO summit that "they deserve it—they asked for a pause for Khamenei's funeral, and then they start firing missiles. If necessary, we'll destroy power plants and water facilities, but I don't want to do that."

"We took down 28 boats [of the Iranians], we'll probably take down more tonight. Maybe we'll take over Kharg Island," he claimed.

"I'm not sure it will with Iran. If we make a deal with Iran, I'm not sure that will stick, because I found them to be very dishonorable people," he told reporters.

US President Donald Trump, attending the NATO summit in Ankara, said that "we'll probably strike Iran again tonight," amid US military attacks against Iran last night.

"I'll give a little warning: We’re going to hit them hard tonight," Trump told reporters at the NATO summit in Turkey before his meeting with Ukrainian President Volodymyr Zelenskyy.

US President Donald Trump's Board of Peace is planning a pilot "humanitarian zone" in southern Gaza which would aim to accommodate tens of thousands of vetted Palestinian civilians, a board official told AFP.

The official said the zone could act as a "starting point" for the Palestinian technocratic committee meant to assume day-to-day governance during Gaza's transitional phase out of war under Trump's 20-point plan.

The pilot zone, which the board is eyeing for Rafah in the southern Gaza Strip, would be secured by multinational troops from the International Stabilisation Force (ISF), a fledgling body which operates under the Board of Peace.

The National Committee for the Administration of Gaza (NCAG), the group of Palestinian technocrats established by the board, would carry out screening and access control, supported by the ISF.

Movement in and out "will remain free for all unarmed civilians", the board official told AFP on condition of anonymity.

For several weeks, the ‘June 26 Movement’ had been promoted on social media as a popular uprising against Hamas's rule in Gaza.

So why did widespread anger over Gaza's catastrophic conditions fail to translate into a broad social movement?

Read more below:

US President Donald Trump did not repeat his criticism of NATO ally Spain nor his announcement of the termination of an interim ceasefire deal with Iran during an alliance leaders' summit in Ankara on Wednesday, a source familiar with the talks told Reuters.

Trump, who earlier ordered a halt to trade with Spain over defence spending and the US-Israeli war on Iran, also did not mention the issue of Greenland during the talks, the source said.

Lebanese President Joseph Aoun said, before the delegation of the International Federation of Lebanese Businessmen and Women, “I chose negotiations because I could not stand by and watch my country being led into the abyss to serve the interests of another country. I had to take a step that could stop the Israeli machine of destruction and annihilation, reduce the loss of lives and villages, and ultimately remove the occupation.”

Aoun stressed that this step received the support of the majority of the Lebanese, including from the Shia community, which paid the greatest price for the wars in the south, saying: “We are continuing with the decision that we have taken, and I call on the Lebanese to maintain their faith in Lebanon, because I am certain that things are moving toward the better, despite the obstacles and difficulties, and nothing is impossible in our dictionary.”

Aoun expected that his upcoming visit to Washington, and his meeting with US President Donald Trump, would bring positive results for Lebanon, "because it reflects the unprecedented US interest in Lebanon, and its support for the path of finding a permanent solution to the series of wars and Israeli attacks on our country, and achieving stability in the entire Middle East region."

Kuwait’s Ministry of Electricity noted that several power lines went out of service after they were damaged by shrapnel from Iranian attacks.

The ministry said this had not affected the continuity of its services, and repairs have begun.

The Kuwaiti army said it had detected two ballistic missiles and 13 drones in Kuwaiti airspace at dawn today, all of which were successfully intercepted.

Almost 6,000 seafarers "remain stranded" in the Gulf, the head of the International Maritime Organisation said Wednesday as he called for "maximum restraint and de-escalation".

"I condemn the attacks over the past two days against several ships transiting the Strait of Hormuz," IMO Secretary General Arsenio Dominguez said in a statement after US President Trump said the ceasefire with Iran was over.

"These reckless attacks have again placed innocent seafarers in grave danger," Dominguez added.

"The US government's conduct as World Cup host follows its familiar foreign policy: bending rules, bullying rivals, creating obstacles, and cheating," wrote the Iranian president.

The U.S. government's conduct as World Cup host follows its familiar foreign policy: bending rules, bullying rivals, creating obstacles, and cheating. This is their MAGA playbook. Iran rejects such games. We stand firmly for our rights.

— Masoud Pezeshkian (@drpezeshkian) July 8, 2026

US Secretary of Defense​Pete Hegseth cancelled a meeting that had been scheduled for Wednesday to discuss the possible sale of F-35 fighter jets to Turkey with Israeli Prime Minister Benjamin Netanyahu, an Israeli source told Reuters.

Any such sale would likely anger Israeli officials. The source, who spoke on condition of anonymity due to the sensitivity of the matter, said Hegseth had also been scheduled to meet Israeli Defence Minister Israel Katz on a trip to Israel and that Iran would feature in their discussions.

US President Donald Trump said on Wednesday that the memorandum of ​understanding signed to end the conflict that the U.S. and Israel launched against Iran ‌was "over" and that he didn't want to engage with Tehran.

The US embassy in Israel had no immediate comment on Hegseth's planned meetings.

Syrian authorities said on Wednesday that the blasts that hit central Damascus during French President Emmanuel Macron's visit a day earlier killed one person and wounded dozens.

In a statement carried by state media, the Syrian health ministry said that "the final toll from the two explosions that occurred... near the Ministry of Tourism building in Damascus has reached one dead and 36 wounded".

The blasts near the hotel where Macron had spent the night came after his departure, and moments before Syrian state media announced his arrival at the presidential palace to meet with his Syrian counterpart Ahmed al-Sharaa.

The US dollar was steady at around its highest level in roughly a week on Wednesday after U.S. President Donald Trump said an interim memorandum of understanding signed with Iran to end their conflict was "over".

The US dollar index, which measures its strength against a basket of six currencies, was little changed on the day at 101.17. It was last hovering around its highest since 2 July, in a somewhat choppy session for the safe-haven currency.

"The USD has reacted, but the market has learnt to take Trump’s comments with a pinch of salt. The remarks may be meant to bring the opposition to the table. Nevertheless, they will raise anxiety levels another notch," Jane Foley, head of FX strategy at Rabobank, said.

Brent crude was last up 6.24% at $78.82 a barrel, extending a rally into a second day.

Saudi shipping company Bahri said on Wednesday its VLCC Wedyan was involved on Tuesday in an incident while passing through the Strait of Hormuz, but the vessel remains seaworthy and its cargo is secure.

Bahri added that all crew members are safe and no injuries have been reported.

The European Union Aviation Safety Agency said on Wednesday that airlines should not operate within the airspace of Iran, Iraq, and Lebanon, amid ongoing tensions and the potential for further military action, as the US and Iran exchanged fresh attacks.

The EASA said its bulletin for the airspaces of Iran, Iraq and Lebanon was valid until 31 August.

The agency said it had withdrawn its previous bulletin that had also asked airlines to exercise caution when operating within the airspace of Bahrain, Kuwait, Israel, Jordan, Qatar, Oman, UAE and Saudi Arabia.

Syria's President Ahmed al-Sharaa arrived in Ankara Wednesday where he is due to meet US President Donald Trump on the sidelines of NATO summit, Turkish television stations reported.

The summit of the military alliance, which closes on Wednesday, has brought 36 heads of state together.

US President Donald Trump said on Wednesday that the memorandum of understanding signed with Iran to end the conflict was "over", adding he didn't want to engage with Tehran.

Trump was speaking in Ankara ahead of a NATO summit in the Turkish capital.

But he was quick to stress that negotiations will continue. 

Exchanges of fire between the United States and Iran "further complicate already fraught talks to end the war", the EU's top diplomat Kaja Kallas said Wednesday.

"Iran's attacks on Bahrain and Kuwait are unacceptable," she said on X, adding EU foreign ministers would discuss with their Gulf counterparts Monday how to "preserve freedom of navigation" in the Strait of Hormuz and Red Sea.

Qatar on Wednesday condemned strikes carried out by Iran against Kuwait and Bahrain and called for diplomacy, as hostilities resumed following attacks on tankers in the Strait of Hormuz.

Qatar, a key intermediary in talks between Iran and the United States, said it "emphasises the need to spare the region the consequences of these unjustified attacks" in a foreign ministry statement posted on X.

Doha also emphasised the need to "pursue the path of dialogue and diplomacy, to de-escalate tensions, and to build upon the progress achieved under the memorandum of understanding".

Mourners marched through Iraq's holy city of Najaf on Wednesday, following the coffin of slain Iranian leader Ayatollah Ali Khamenei as his six-day funeral procession, which drew huge crowds in his home country, pressed on across the border.

People carrying large portraits of the late leader gathered along the route and chanted "Death to America" and "Death to Israel" as Khamenei's coffin was driven on a large truck through the streets.

Iraqi and Iranian flags fluttered above the crowd, alongside the banners of powerful Iran-backed Iraqi militias whose supporters joined the procession.

Najaf holds special significance for Shi'ite Muslims worldwide ​as the burial place of Imam Ali, the cousin and son-in-law ​of the Prophet Mohammad.

Khamenei's coffin arrived on Tuesday evening at Najaf's international airport, where Iraqi Prime Minister Ali al-Zaidi, senior officials and religious figures attended an official reception.

Iranian President Masoud Pezeshkian and Islamic Revolutionary Guard Corps commanders also arrived to take part in the procession, which is expected to continue to the Iraqi shrine city of Karbala before the coffin is returned to Iran for burial.

The Iranian army announced the implementation of "a drone attack on the American forces' concentration centres at the Sheikh Issa base in Bahrain in response to the American attacks on military and civilian areas in the south of the country at dawn today."

 The Iranian army held the American side responsible for the consequences of the "flagrant and repeated violation of the ceasefire," stressing that "all American bases in the region will be a legitimate target for army drones."

For its part, Iran's Foreign Ministry said in a statement, "Violation of Iranian arrangements in the Strait of Hormuz and continued Israeli strikes in Lebanon are making the interim deal ineffective."

The Iranian news agency Mehr reported several explosions heard in Bushehr in the south of the country, near the Persian Gulf.

Soon after,  Bahrain sounded missile alert sirens a third time this morning after Iran launched retaliatory attacks over US airstrikes.

The White House has invited Lebanese President Joseph Aoun to visit the United States on 21 July, a White House official told Reuters.

The US has sought to organise a trilateral meeting between Aoun, Prime Minister Benjamin Netanyahu and Trump, but Beirut has pushed back on the idea so long as Israel occupies southern Lebanon.

The new attacks by the US on Iran were "absolutely necessary", NATO Secretary General Mark Rutte said on Wednesday.

"When you have a ceasefire and Iran is basically violating the ceasefire, I think it is totally crucial that the US forcefully react," Rutte told reporters before a summit of NATO leaders in Ankara. 

Iran said Wednesday it had carried out strikes on Bahrain in retaliation for the US bombing of Iranian targets the previous day, with Tehran accusing Washington of violating the deal to end the war.

"In retaliation for the aggression of the American enemy... and for the violation of the agreement... army drones attacked the American enemy forces located at Sheikh Isa air base," Iran's military said in a statement carried by the official IRNA news agency.

Iran’s Islamic Revolutionary Guard Corps earlier said it hit dozens of US military facilities in Bahrain and Kuwait overnight in response to US strikes, in a statement carried by state broadcaster IRIB.

“In an initial response to this aggression, the IRGC Navy and Aerospace Force carried out a joint missile and drone operation, striking 85 key US military facilities” in the two countries, while also shooting down an MQ-9 drone, the statement said.

The funeral procession of slain Supreme Leader Ali Khamenei is underway in Iraq's Najaf, with thousands in attendance. 

Najaf holds special significance for Shias worldwide as the burial place of Imam Ali, the cousin and son-in-law of the Prophet Mohammad. 

The procession is due to continue to the Iraqi shrine city of Karbala before the coffin returns to Iran for burial in Mashhad later this week.