Israeli military strikes have resumed in the southern Lebanese city of Tyre, casting fresh doubt on the viability of a U.S.-brokered peace agreement intended to halt hostilities with Iran.

The renewed violence in the ancient coastal city has left residents in a state of uncertainty, with daily life largely at a standstill despite a brief period of relative calm following weeks of intense bombardment.

The escalation directly undermines diplomatic efforts to secure the Strait of Hormuz, a critical global energy chokepoint.

Market participants are closely monitoring the situation as the anticipated deal, which was expected to de-escalate regional tensions, now appears in jeopardy.

The failure to reach a ceasefire could prolong the period of elevated geopolitical risk, sustaining pressure on shipping routes and energy supply chains.

Previous reports indicated that a diplomatic resolution seemed within reach, offering a glimmer of hope for stabilizing the region.