Powerful Shi'ite cleric Moqtada al-Sadr extended his Mehdi Army militia ceasefire by six months on Friday, a decision U.S. officials said would help foster reconciliation among Iraq's divided communities.

The renewal was welcomed by the Iraqi and U.S. governments, which both say the initial six-month truce has helped reduce attacks on U.S. and Iraqi troops and the tit-for-tat sectarian violence that pushed Iraq to the brink of civil war.