What began as an ordinary shift for Jerusalem bus driver Fakhri Khatib ended hours later in tragedy.

A chaotic spiral of events, symptomatic of a surge in racist violence targeting Arab bus drivers in Israel, led to the death of a teenager, Khatib's arrest and calls for him to be charged with aggravated murder.

Iran and Russia will conduct naval maneuvers in the Sea of Oman on Thursday, following the latest round of talks between Tehran and Washington in Geneva, Iranian media reported.

On Monday, the Revolutionary Guards, the ideological arm of Iran's military, also launched exercises in the strategic Strait of Hormuz, a challenge to U.S. naval forces deployed in the region.

The Israeli military announced that one of its soldiers had been killed in combat in southern Gaza on Wednesday, but a security source said the death appeared to have been caused by "friendly fire".

"Staff Sergeant Ofri Yafe, aged 21, from HaYogev, a soldier in the Paratroopers Reconnaissance Unit, fell during combat in the southern Gaza Strip," the military said in a statement.

A senior imam of the Al‑Aqsa Mosque in east Jerusalem said Tuesday that Israeli authorities have barred him from entering the compound, just days before the start of the Muslim holy month of Ramadan.

Iran's Foreign Minister Abbas Araghchi said Tuesday the latest talks with the United States saw them agree on "a set of guiding principles" that would pave the way for a deal.

Israeli NGOs have raised the alarm over a settlement plan signed by the government which they say would mark the first expansion of Jerusalem's borders into the occupied West Bank since 1967.

Syria began evacuating remaining residents of Al-Hol camp, which long housed relatives of suspected Islamic State group fighters, as it empties the formerly Kurdish-controlled facility, two officials told AFP.

Oil prices were in focus Tuesday as U.S. President Donald Trump ramped up threats towards Iran, shaking up markets subdued by holidays in Asia and the United States.

Iran's supreme leader warned on Tuesday that the country had the ability to sink a U.S. warship deployed to the Gulf, as fresh talks between the two sides concluded in Switzerland.

Iran said Monday that the U.S. position on Tehran's nuclear program "has moved towards a more realistic one" ahead of a second round of talks.