Islamic State suicide bombers and fighters attacked the center of Iraq's northern oil refinery town of Baiji overnight, forcing the army and Shi'ite fighters to pull back, military sources and the local mayor said on July 5.

An Iranian nuclear agreement is possible this week if Iran makes the "hard choices" necessary, but if not, the United States stands ready to walk away from the negotiations, US Secretary of State John Kerry said on July 5.

Greece voted on July 5 on whether to accept more austerity in exchange for international aid, in a high-stakes referendum likely to determine whether it leaves the euro-currency area after seven years of economic pain.

Euro zone countries tried in vain to stop the IMF publishing a gloomy analysis of Greece's debt burden which the leftist government says vindicates its call to voters to reject bailout terms, sources familiar with the situation said on July 3.

New York Governor Andrew Cuomo on July 3 ordered heightened security measures across the state over the U.S. July Fourth holiday weekend in response to a call for vigilance by the federal government.

Tehran and world powers were still shy of a breakthrough at nuclear talks on July 2 as foreign ministers flew in to help push for a swift deal and resolve disputes over how sanctions could be lifted and how Iran's compliance would be monitored.

The International Monetary Fund (IMF) delivered a stark warning on July 2 of the huge financial hole facing Greece as angry and uncertain voters prepare for a referendum that could decide their country's future in Europe.

Iran's stockpile of low-enriched uranium gas dropped below the maximum level required under a 2013 interim nuclear agreement with world powers, a UN report showed, but a US think-tank suggested Tehran had not entirely met its obligations.

The United States and Cuba formally agreed on July 1 to restore diplomatic relations on July 20, setting up a trip to Havana by John Kerry, who would become the first US secretary of state to visit the country in 70 years.

Egypt's army said on July 1 more than 100 militants and 17 soldiers were killed after simultaneous assaults on military checkpoints in North Sinai, in the deadliest fighting in years in the restive province.