The actions of an Iranian-backed militia have moved the U.S. and Iran into direct confrontation in Iraq, in a test of whether the two nations can settle their differences short of war.

The militia, Kataib Hezbollah, attempted to storm the U.S. Embassy in Baghdad on Tuesday after a weekend attack on a military base near Kirkuk that wounded four U.S. troops and killed a U.S. contractor, crossing a Trump administration red line—American fatalities.

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