By Steve Holland and Enas AlashrayWASHINGTON/CAIRO, July 11 (Reuters) - President Donald Trump said the U.S. and Iran had agreed to continue talks despite an escalation of hostilities this week but he declared that the ceasefire reached between the two sides last month was over.The United States also stepped up demands on Friday that Iran stop attacks on ships in the Strait of Hormuz, where recent hostilities have pushed oil prices higher, a politically sensitive issue for Trump ahead of November congressional elections.

US President Donald Trump said Wednesday the ceasefire with Iran was “over” after the two sides traded fire, but added that negotiators could keep talking

Follow live coverage of U.S.-Iran attacks, the Strait of Hormuz, oil prices, Trump at the NATO summit.

US President Trump declared the Iran truce effectively over after attacks on shipping. The United States launched retaliatory strikes on Iranian military targets. These actions…