The Turkish military says it has withdrawn its troops from northern Iraq, following a controversial ground offensive against Kurdish rebels.
The army said the goals of the operation "had been reached and the units have returned to their bases".
Turkey launched the cross-border attack last week, accusing Iraq of failing to stop PKK guerrillas from using the area as a safe haven.
Iraqi Foreign Minister Hoshiyar Zebari welcomed the withdrawal.
"We think this is the right thing for Turkey to do," Mr Zebari told reporters.
The development comes a day after President George W Bush urged Nato ally Turkey to wind up the raid and get out of Iraq.
US Defence Secretary Robert Gates personally conveyed the message during talks in Ankara on Thursday.
Iraq said the incursion was unacceptable and violated its sovereignty.
But Ankara argues that as many as 3,000 Kurdish rebels use the region as a springboard for raids on Turkey.
The PKK - the Kurdistan Workers' Party - is branded a terrorist organisation by Turkey, the US and EU.
It has launched a number of attacks on Turkish troops and civilians from northern Iraq.
Analysts say Turkey had to mount a show of strength after a wave of devastating PKK ambushes on Turkish troops in September and October last year.
Turkey's campaign began with air strikes in December, supported by intelligence from the US. Deploying ground troops was a crucial follow-up.
The strategic aim of the operation is to demolish the main PKK bases in northern Iraq and prevent fresh attacks from there in spring, analysts say.
Reports from Turkey on the size of the assault force have varied from 3,000 to 10,000 soldiers.
Turkey says 24 soldiers and 237 rebels have been killed. The PKK says it has killed more than 100 soldiers.
More than 30,000 people have been killed since the PKK began fighting for a Kurdish homeland in south-eastern Turkey in 1984.