diff --git a/cue/parser/parser.go b/cue/parser/parser.go
index 840be6d..31eb2e5 100644
--- a/cue/parser/parser.go
+++ b/cue/parser/parser.go
@@ -707,7 +707,6 @@
 			p.next()
 		}
 
-		_ = multipleLabels
 		if p.tok == token.COLON || p.tok == token.ISA {
 			if p.tok == token.ISA && multipleLabels {
 				p.errf(p.pos, "more than one label before '::' (only one allowed)")
@@ -723,23 +722,28 @@
 		// allowComprehension = false
 
 		switch p.tok {
-		default:
-			if p.tok != token.COMMA {
-				p.errorExpected(p.pos, "label or ':'")
-			}
-			switch tok {
-			case token.IDENT, token.LBRACK, token.STRING, token.INTERPOLATION, token.NULL, token.TRUE, token.FALSE:
-				if p.tok == token.COMMA {
-					p.expectComma()
-					return &ast.EmbedDecl{Expr: expr}
-				}
-			}
-			return &ast.BadDecl{From: pos, To: p.pos}
-
 		case token.IDENT, token.STRING, token.LSS, token.INTERPOLATION, token.LBRACK:
 			field := &ast.Field{}
 			m.Value = &ast.StructLit{Elts: []ast.Decl{field}}
 			m = field
+
+		case token.COMMA:
+			p.expectComma() // sync parser.
+			fallthrough
+
+		case token.RBRACE:
+			if i == 0 {
+				switch tok {
+				case token.IDENT, token.LBRACK, token.STRING, token.INTERPOLATION,
+					token.NULL, token.TRUE, token.FALSE:
+					return &ast.EmbedDecl{Expr: expr}
+				}
+			}
+			fallthrough
+
+		default:
+			p.errorExpected(p.pos, "label or ':'")
+			return &ast.BadDecl{From: pos, To: p.pos}
 		}
 	}
 
diff --git a/cue/parser/parser_test.go b/cue/parser/parser_test.go
index c73ec5a..a4fd97f 100644
--- a/cue/parser/parser_test.go
+++ b/cue/parser/parser_test.go
@@ -92,6 +92,10 @@
 		`,
 		`Def :: {b: "2", c: 3, embedding}`,
 	}, {
+		"one-line embedding",
+		`{ V1, V2 }`,
+		`{V1, V2}`,
+	}, {
 		"ellipsis in structs",
 		`Def :: {
 			b: "2"
@@ -524,3 +528,14 @@
 		})
 	}
 }
+
+// For debugging, do not delete.
+func TestX(t *testing.T) {
+	t.Skip()
+
+	f, err := ParseFile("input", ``)
+	if err != nil {
+		t.Errorf("unexpected error: %v", err)
+	}
+	t.Error(debugStr(f))
+}
diff --git a/cue/parser/short_test.go b/cue/parser/short_test.go
index 6916135..6e5e428 100644
--- a/cue/parser/short_test.go
+++ b/cue/parser/short_test.go
@@ -36,7 +36,6 @@
 func TestInvalid(t *testing.T) {
 	invalids := []string{
 		`foo !/* ERROR "expected label or ':', found '!'" */`,
-		// `foo: /* ERROR "expected operand, found '}'" */}`, // TODO: wrong position
 		`{ <Name
 			/* ERROR "expected '>', found newline" */ >: foo }`,
 		// TODO: