- Nikkei rises sharply, oil stable -

Tokyo's Nikkei index was up 5.7 percent at 62,915.87 at lunch break, fuelled by growing optimism the Iran war is close to ending.

Oil prices were flat with West Texas Intermediate at $95.08 a barrel and Brent Crude at $101.32 a barrel, having fallen around 10 percent over the previous two days.

It followed a rally from the US stock markets. The S&P 500 and Nasdaq, two of the major US stock indices, finished at records for the second consecutive day.

- Iran denies striking South Korean ship -

Iran denied that it was behind an explosion that damaged a South Korean ship in the Strait of Hormuz this week.

Tehran's embassy in Seoul said Thursday it "firmly rejects and categorically denies any allegations regarding the involvement of the armed forces of the Islamic Republic of Iran in the incident involving damage to a Korean vessel in the Strait of Hormuz".

- Trump says Iran deal 'very possible' -

US President Donald Trump said Wednesday that a deal with Iran to end the Middle East war was "very possible" following "very good talks" over the past day.

"We've had very good talks over the last 24 hours, and it's very possible that we'll make a deal," Trump told reporters in the Oval Office.

- Hezbollah commander killed -

A senior commander from Hezbollah's elite force was killed in an Israeli strike on Beirut's southern suburbs on Wednesday, a source close to the group said.

At least 11 other people were killed in strikes across the south and east, according to the Lebanese health ministry.

- Ship violating Iran port blockade disabled -

A US Navy warplane fired on and disabled the rudder of an oil tanker that tried to break Washington's blockade of Iranian ports, the US military said on Wednesday.

US forces warned the Iranian-flagged ship that it was in violation of the blockade but its crew "failed to comply," so a US F/A-18 Super Hornet "disabled the tanker's rudder by firing several rounds from (its) 20mm cannon gun," Central Command said in a post on X.

- Macron calls UAE strikes 'unjustified' -

France's President Emmanuel Macron told his Iranian counterpart Masoud Pezeshkian on Wednesday that attacks on Emirati civilian infrastructure and ships near the Strait of Hormuz were "unjustified".

"I expressed my deep concern about the ongoing escalation and condemned the unjustified strikes against Emirati civilian infrastructure and several ships," Macron said on X after the discussion.

- French aircraft carrier heads for Gulf -

France's aircraft carrier the Charles de Gaulle was on Wednesday heading towards the southern Red Sea to pre?position for a possible mission to restore navigation in the Strait of Hormuz, the presidency said.

Its redeployment sends "a signal that not only are we ready to secure the Strait of Hormuz but that we are also capable of doing so," the presidency added.

- Iran reviewing US proposal -

Iran foreign ministry spokesman Esmaeil Baqaei said a US proposal to end the war is still "under review" by Tehran, local media reported.

Tehran will convey its views to key mediator Pakistan after "finalising its views", Baqaei told the ISNA news agency.

- Israel vows to 'dismantle' Hezbollah' -

Israel's army chief Lieutenant General Eyal Zamir vowed to dismantle Hezbollah and said the military was prepared to launch a new offensive against Iran if needed.

"We will seize every opportunity to deepen the dismantling of Hezbollah and continue weakening it," Zamir said while visiting soldiers near the Lebanese town of Khiam.

- Iran seeks China's help -

Tehran is looking forward to China's support for a "new post-war" regional framework following its conflict with the United States, said Iranian Foreign Minister Abbas Araghchi in a post to X.

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A.P. MOELLER-MAERSK