Pedestrians walk past a wall mural of Iran's slain supreme leader Ayatollah Ali Khamenei on a street in downtown Tehran on Aug. 31. AFP-Yonhap

Iran's president said Tuesday that his country is ready to return to the ceasefire deal reached with the United States in June if Washington does the same, in conciliatory remarks following the first exchange of fire between the two countries in a month.

Here is a look at the latest developments in the Iran war and the wider Middle East. Full coverage can be found here.

Iran says it would return to ceasefire agreement if US does

Speaking on the sidelines of the Shanghai Cooperation Organization summit in Kyrgyzstan, Iran's President Masoud Pezeshkian said that “if the U.S. returns to its commitments in the memorandum of understanding, the Islamic Republic of Iran will immediately reciprocate,” Iranian state media reported.

The June memorandum of understanding called for an immediate ceasefire and began a 60-day period for negotiations aimed at reaching a broader peace deal. Under the agreement, Iran consented to clear the Strait of Hormuz of mines and allow ships to pass during the period, while the U.S. agreed to end its naval blockade, lift sanctions, issue waivers for Iranian oil exports and begin work on a reconstruction package for Iran, among other steps.

The agreement broke down quickly, and although there has been a lull in fighting, the two sides exchanged fire over the weekend. The statement from Pezeshkian, delivered at a multilateral summit, adds to diplomatic efforts unfolding alongside the military tensions and highlights how the Strait of Hormuz remains central to both the ceasefire terms and regional shipping security.

Pezeshkian has long favored a negotiated end to the war, but Iran’s most powerful force remains the paramilitary Revolutionary Guard, which is pressing for greater concessions from the U.S., including Iranian control over the Strait of Hormuz and financial compensation for the war. Those conditions would likely be unacceptable to Washington.

The leaders of China, Russia and India are all attending the summit in Kyrgyzstan, which has been billed as a counterweight to U.S. global influence.

Iran's foreign minister has already met with his Chinese counterpart, and Pezeshkian was due to hold talks with Russian President Vladimir Putin later Tuesday.

Two ships attacked in and around Strait of Hormuz

The British military's United Kingdom Maritime Trade Operations Centre said it received reports of an attack on a ship in the Strait of Hormuz and a second report of an incident involving a tanker in nearby waters.

In the first incident, the UKMTO said a tanker was hit by three projectiles Monday while sailing out of the Persian Gulf through the strait east of Oman.

The monitoring agency said there were no reports of casualties on board or any environmental impact from the attack.

In the second incident, the UKMTO said it had received a report “involving a tanker and military forces” on Monday off the coast of Oman, east of the Strait of Hormuz.

Ambrey, a UK-based maritime risk and response company, also said the vessel had reportedly been stopped and remained adrift. There were no reports of casualties.

There was no immediate claim of responsibility for the attacks, but Iran has fired regularly on ships in the Strait of Hormuz as it continues to restrict traffic through the key waterway. The U.S. has also fired on ships as it maintains its blockade of Iranian ports. The incidents underscore how even limited maritime attacks can ripple beyond the immediate area, because the strait is a major route for energy shipments and commercial traffic moving between the Gulf and the Indian Ocean.

Iraq completes investigation into suspected Islamic State group members

Iraq’s Supreme Judicial Council said Tuesday it had completed investigations into about 5,704 suspected Islamic State group members who were transferred to Iraq from Syria earlier this year. The council said hundreds would be released and the others sent to trial.

The detainees were transferred from detention centers previously run by the Kurdish-led Syrian Democratic Forces amid fears that fighting between the SDF and government forces, and the resulting power vacuum in some areas, would allow militants to escape.

The detainees include people from 67 nationalities, including 3,497 Syrians and 474 Iraqis. Some were European nationals.

The council said investigations failed to establish sufficient evidence in some cases, leading to the release and handover of a Finnish, an American and seven Iraqi detainees to their home countries.

It also said Iraqi authorities were completing procedures to release 457 Syrian detainees because there was insufficient evidence to justify continued judicial proceedings. The review process is one part of the broader effort to manage thousands of detainees tied to the Islamic State group across Iraq and Syria, where legal, security and detention issues remain closely linked to the stability of areas once held by the militants.

Japan approves emergency fund for higher gas prices

Japan’s Cabinet on Tuesday approved a 616 billion yen ($3.9 billion) emergency fund to address rising gasoline prices and other fallout from the Middle East conflict, Prime Minister Sanae Takaichi said in a social media post.

Most of the money will fund government subsidies to keep retail gasoline prices around 170 yen ($1.06) per liter. The move reflects how disruptions tied to the conflict are being felt well beyond the region, with governments in energy-importing countries moving to cushion consumers from higher fuel costs.