Three out of five rockets fired on Sunday directly hit the US embassy in Iraq’s capital, a security source told AFP, including one that slammed into a cafe at dinner time.
Iraq’s security forces had earlier reported no casualties.
The diplomatic mission, which lies in Baghdad’s high-security Green Zone, has been regularly hit by rockets in recent months.
Sunday’s attack took place earlier in the day than usual and it was the first time a direct hit was reported.
The Green Zone houses government buildings and foreign missions.
Earlier, US sources revealed that rockets fell inside the embassy’s compound in Baghdad, Al Arabiya correspondent in Washington reported.
Baghdad is in the throes of mass anti-government protests.
AFP reporters heard loud thuds emanating from the western bank of the Tigris, where most foreign embassies are located.
One security source said three Katyusha rockets hit near the high-security compound while another said as many as five struck the area.
Later Iraq’s security forces said in a statement that five rockets hit the high-security Green Zone with no casualties. It did not mention the US embassy.