US-Iran Conflict

The United States and Iran exchanged heavy fire near Iran's only civilian nuclear power plant on Wednesday, shattering a fragile ceasefire and escalating hostilities across the Gulf.

US Central Command deployed F-35 fighter jets armed with JASSM and Hellfire missiles from the USS Abraham Lincoln, positioned 250 kilometres off Iran's coast, to strike naval bases in Sirik, Qeshm, and Bushehr province. Multiple explosions were reported across southern Iran, though Iranian officials said the Bushehr nuclear reactor itself was not hit. Iran's foreign ministry called the bombings a "flagrant war crime" and an Italian news agency reported no casualties in the midday strikes, which also hit a fishing pier in Assaluyeh.

In retaliation, Iran targeted 85 sites at US military installations in Bahrain, Kuwait, and Qatar, while downing a US MQ-9 reconnaissance drone over Bushehr province. Russian technicians previously stationed at the nuclear site had been evacuated weeks earlier. The attacks marked a blatant violation of the ceasefire between the two countries.

Israel has elevated its armed forces, air force, and air defences to maximum readiness as confrontations between Washington and Tehran intensify across the Middle East. Defence Minister Israel Katz said the military is prepared to resume the offensive against Iran, though the IDF will engage only if Iran attacks Israel directly. Military sources consider several days of further combat in the Gulf highly likely.

The United States launched its heaviest wave of airstrikes on Iran since a memorandum of understanding was signed, hitting more than 90 sites overnight. In response, the Islamic Revolutionary Guard Corps struck American military bases in Bahrain and Kuwait with missiles and drones, while Iran has threatened to close the Strait of Hormuz entirely. The Israeli military has maintained close operational coordination with US Central Command to discuss scenarios for resumed hostilities.

President Donald Trump, speaking at a press conference in Ankara, said he did not believe the war would restart and expected it to end quickly. Meanwhile, Katz reiterated that Israel will maintain its military presence in Lebanon despite international appeals, and Israeli forces continue operations in southern Lebanon despite a preliminary ceasefire. The burial of former Supreme Leader Ali Khamenei is taking place today in Mashhad.

U.S. airline shares fell sharply after President Donald Trump declared an end to the ceasefire with Iran and threatened further strikes, sending crude oil prices higher and reviving fears over jet fuel costs. American Airlines dropped 5%, United Airlines fell 4%, and Delta Air Lines and JetBlue slipped 3% in active trading. West Texas Intermediate crude rose 7.47% to $75.70 a barrel within 24 hours.

The selloff reflects anxiety over fuel expenses, already a severe burden for carriers. U.S. airlines spent $6.66 billion on jet fuel in May, up 84% year-over-year, as average prices hit $4.09 a gallon, nearly double the prior year. The U.S.-Iran war has disrupted the Strait of Hormuz, where three oil tankers were struck on July 8, while Washington has revoked licenses permitting Iranian oil sales.

Bearish bets are mounting: put options on the JETS airline ETF accounted for roughly 75% of its options volume. Airlines had based 2026 guidance on fuel costs of $4 to $4.30 a gallon. Delta reports earnings Friday.

Jordan's military intercepted eight Iranian missiles that penetrated the kingdom's airspace on Thursday, with air raid sirens sounding across Amman and other areas. No casualties or damage were reported, though debris fell on Jordanian territory. The U.S. embassy in Amman urged American citizens to shelter in place immediately.

The interceptions came amid a broader exchange of fire across the region. Iran launched retaliatory attacks on U.S. military bases in Gulf states, triggering missile alerts in Bahrain, Kuwait, and Qatar. The U.S. military said it carried out a new wave of strikes against Iran aimed at curbing Tehran's ability to threaten shipping in the Strait of Hormuz. An air alert was also triggered at the U.S. base at Harir in northern Iraq.

President Donald Trump warned of even more severe strikes if Iran continues targeting vessels, while the Islamic Revolutionary Guard Corps threatened a devastating response to any further U.S. interference in the strait. Pakistan called on both sides to exercise restraint.

The United States and Iran traded heavy blows on Wednesday, shattering a fragile ceasefire and plunging the Gulf into a dangerous new escalation. US Central Command struck roughly 90 Iranian military targets, including air defenses, missile depots, radar systems, and coastal infrastructure, killing at least 14 people and wounding 78 across five provinces.

Iran retaliated by launching missiles and drones at US bases in Kuwait and Bahrain, prompting both Gulf states to condemn the strikes as violations of their sovereignty. A Qatari tanker was attacked in the Strait of Hormuz as tensions choked the critical waterway. Iran's parliament speaker declared the Strait would open only on Iranian terms and said the "era of bullying is over."

President Donald Trump declared the existing memorandum of understanding with Iran dead and threatened further action, even as Pakistan urged both sides to exercise restraint. The US also revoked a license authorizing Iranian oil sales under the now-defunct interim deal.

Global equities fell sharply and oil prices surged on Wednesday after the United States launched airstrikes on more than 80 targets in Iran and President Donald Trump declared an end to a temporary ceasefire. The U.S. attacks hit command networks, coastal radar, and Revolutionary Guard vessels, while Iran retaliated by firing on Bahrain, Kuwait, and Qatar. The Islamic Revolutionary Guard Corps also attacked three tankers in the Strait of Hormuz, driving Brent crude above $78 a barrel.

European markets bore the brunt of the selloff. Madrid's Ibex 35 dropped nearly 3% after Trump threatened to cut commercial ties with Spain, dragging Santander, Acerinox, and Fluidra down over 4%. Frankfurt, Paris, and London all posted steep losses, and the EuroStoxx 50 shed 2%. The Dow Jones fell nearly 1% in the previous session.

In Asia, South Korea's Kospi plunged over 5% while Tokyo's Nikkei retreated. The Trump administration revoked a waiver permitting Iranian oil exports, further tightening supply as tanker crossings in the Strait of Hormuz declined. Energy stocks bucked the trend, with Repsol rising 4%.

U.S. President Donald Trump declared the ceasefire with Iran "over" on Wednesday, signaling a sharp escalation in hostilities following a night of reciprocal military strikes between the two nations.

Speaking at the NATO summit in Ankara, Trump described Iranian leaders as "scum" and "sick people", saying he no longer wished to negotiate. The announcement followed U.S. strikes on more than 80 targets in Iran after Iranian forces attacked ships in the Strait of Hormuz. Iran's Revolutionary Guard retaliated against U.S. military sites in Bahrain and Kuwait. Trump warned that Washington may target Iranian infrastructure, including power and desalination plants, and could resume a naval blockade.

Oil prices surged five percent following the remarks. The U.S. has also revoked sanctions waivers that had allowed Iranian oil sales.

President Donald Trump repeatedly misidentified Iran as the "Islamic Republic of Japan" during a press briefing in Ankara on Wednesday, claiming the country had fired 111 missiles at the USS Abraham Lincoln and attempted to sink the carrier.

Trump, who also confused Volodymyr Zelensky with Vladimir Putin during the same session, declared that a ceasefire with Iran had ended following Tehran's attacks on shipping in the Strait of Hormuz. He stated that all missiles were intercepted by American air defenses. United States Central Command separately claimed to have struck more than 60 small boats belonging to the Islamic Revolutionary Guard Corps.

Iran's Islamic Revolutionary Guard Corps said it targeted 85 US military installations in Bahrain and Kuwait, including facilities at Bahrain's Salman Port and Kuwait's Ali Al Salem Air Base. Kuwait reported it was countering missile and drone threats, while Bahrain activated air-raid sirens. Iranian forces also shot down an MQ-9 drone.

The United States struck more than 80 targets inside Iran in response to earlier Iranian attacks on ships in the Strait of Hormuz. President Donald Trump approved the strike plan while in Turkey for the NATO summit.

The escalation marks a sharp widening of hostilities between Washington and Tehran, drawing Gulf allies directly into the confrontation.

The European Union Aviation Safety Agency has advised airlines to avoid the airspace of Iran and Iraq through 31 August, after a fragile ceasefire between the United States and Iran collapsed into renewed strikes. The guidance also covers Lebanon, replacing an earlier bulletin that urged caution over a broader list of Gulf states.

The escalation began when the Islamic Revolutionary Guard Corps said it targeted 85 U.S. military facilities in Bahrain and Kuwait with missiles and drones, prompting a U.S. retaliatory wave hitting more than 80 Iranian sites overnight. Kuwait intercepted two ballistic missiles and 13 drones without damage. Oil prices jumped more than five percent after the ceasefire's end was announced.

EU foreign policy chief Kaja Kallas said the new attacks complicate efforts to negotiate an end to the war, while NATO Secretary General Mark Rutte called the U.S. strikes necessary. China denounced the escalation and warned against reigniting the conflict. Iran has warned of further missile strikes against Gulf states.

NATO Secretary General Mark Rutte has endorsed the latest American military strikes on Iran as "absolutely necessary", offering the alliance's strongest public backing for Washington's escalation as a NATO summit opens in Ankara, Turkey.

The United States struck more than 80 Iranian targets, including 60 vessels belonging to the Islamic Revolutionary Guard Corps, in retaliation for Iranian fire on civilian shipping in the Strait of Hormuz. Tehran responded by launching attacks on 85 US-linked military sites in Bahrain and Kuwait.

Rutte's remarks, delivered as alliance leaders gather in the Turkish capital, underscore Western support for the American campaign and signal that the widening confrontation will dominate the summit agenda.

The United States has launched a series of military strikes against Iran, breaking an existing ceasefire between the two nations. Iran reported explosions in the south of the country, with Iranian state television describing at least six blasts on the island of Qeshm in the Strait of Hormuz.

United States Central Command said the operation was a response to Iranian attacks on three merchant vessels transiting the strait. A day earlier, Iranian forces fired rockets that struck and damaged at least two ships, causing significant damage but no casualties. The British maritime agency UKMTO reported a tanker near the Omani coast caught fire after being hit.

Centcom called Iran's actions unprovoked and a clear violation of the ceasefire. The strikes came hours after Washington reimposed sanctions on Tehran.

Multiple commercial vessels have come under fire in the Strait of Hormuz, prompting maritime authorities to raise the threat level to severe after at least three tankers were hit in a 24-hour window. A Qatari LNG carrier, the Al Rekayyat, was struck near the strait on July 7, igniting a fire in its engine room. Iran's state television claimed its forces targeted the vessel after it ignored warnings. Qatar condemned the strike as a serious breach of international law.

A Saudi-flagged supertanker, believed to be the Wedyan, was also damaged off Oman's coast, and oil prices climbed on the news. U.S. officials said initial indications pointed to Iran firing on commercial shipping.

The violence follows a fragile truce. The U.S. struck Iranian facilities on June 25 in retaliation for a cargo ship attack blamed on Tehran, and both sides have accused each other of breaking the ceasefire. These are the first reported strikes in the strait since a mourning period for Ayatollah Ali Khamenei began. The UK's maritime office logged three separate tanker incidents in the past week.

The United States revoked a waiver permitting Iranian oil sales on Tuesday, reinstating sanctions just weeks after they were eased, as oil prices surged and three tankers were attacked in or near the Strait of Hormuz.

The US Treasury Department withdrew the exemption it had issued in late June, which had suspended sanctions until August 21 following an interim agreement to reopen the strait. The Office of Foreign Assets Control said no new transactions involving Iranian oil are permitted effective immediately. Washington called Iran's actions in the waterway "completely unacceptable" and said they would carry consequences.

The attacks targeted a Qatari LNG tanker, a Saudi oil supertanker, and a third vessel. Iranian state television said its forces struck the Qatari tanker after it ignored warnings, while Tehran has insisted ships use a northern route under its control. Brent crude rose 5.3 percent to $75.78 per barrel and WTI climbed 5.05 percent to $72.01.