Highlighting the precarious nature of vessel transits through this narrow passage between Iran and the United Arab Emirates (UAE), another ship was struck by Iran overnight as it was leaving the Strait, a maritime security official told TWZ.
The Gulf of Oman, which is the eastern approach to the Strait and the Persian Gulf, is largely controlled by Iran to the north and Oman to the south. Under the emerging agreement between those countries, “vessels heading into the Persian Gulf will transit a channel controlled by Iran, and close to its coast. Ships leaving the Gulf will travel on a channel near Oman,” The New York Times reported.
Both Iran and the U.S. are already following this general traffic pattern, with the U.S. Navy recommending transits close to the Omani coastline and Iran pushing shipping toward its shores. The middle of the Strait has been deemed too hazardous because of the threat primarily from mines. The new plan being pushed by Iran and Oman would expand the use of these traffic patterns. Unless there is some special cutout made in the deal, it could require the U.S. Navy to seek permission to enter the Persian Gulf and then have to make the transit deep in Iranian waters, giving American warships degraded defensive options and putting them in the heart of Iran’s weapons engagement envelope.
Strait of Hormuz (Google Earth)
While Iranian officials say that they won’t impose tolls, the accord does include a charge for service fees to cover the environmental impact of the shipping, security for the cargo ships and tankers, and staffing, the publication added. Revenues would be divided equally between Iran and Oman, two Iranian officials told the Times.
Reuters reported on Tuesday that “Tehran is unlikely to change its position,” because it has already shown flexibility by moving from its initial position of seeking full control over traffic in both directions in the strait.
But a U.S. official familiar with the negotiations told the Times on Monday that the Iranian account was “not accurate,” and said that any “temporary” routes established through the strait would not involve approvals or permissions by Iran, and would involve no tolls.
If this sounds familiar, there is good reason. We wrote about a similar scheme that was floated by Iran and Oman back in May. And, just like now, it came during a lull in fighting and as Trump insisted the Strait be open for all with no fees for transit.
Regardless of the plans for the Strait being discussed by Iran and Oman, the Trump administration on Tuesday said it could soon work out a deal with Iran on the matter.
“We are in talks with the Iranians,” Treasury Secretary Scott Bessent told CNBC’s “Squawk Box.” “There is a chance we may have a deal today or tomorrow to open the Strait and move towards a more normalized position in this conflict.”
“It would be freedom of movement,” the Treasury Secretary said when asked whether Iran would be allowed to charge a toll.
All this follows Trump’s claims on Monday that talks with Iran were ongoing and that he is giving Tehran a “last chance” before ordering new strikes. Iranian officials, however, vociferously denied Trump’s claim and said they are prepared to fight.
“We’re talking, and we’re talking at the request of Iran, backed by Saudi Arabia, backed by UAE and backed by Qatar in particular, but others also,” Trump told reporters Monday at the White House. “They all wanted to give this a last chance. This is a last chance. This is not something that if it doesn’t happen. This is the last chance for them.”
Q: “Are the talks with Iran now off?”
President Trump: “No, they’re going on. They’re going on right now…this is the last chance for them to sign a good document.” pic.twitter.com/H9RxAHmjCP
On Sunday, Trump stated that he called off a major attack on Iran to give diplomacy another chance to work. Asked Monday what his message to the American people is now that he has called off strikes at least five times, Trump replied: “Well, you don’t know, I don’t know, I think we’re going to maybe get something. But I want to give them every last chance before decapitation. Very tough to do what we have planned, still planned. We’ll see what happens.”
Reporter: Mr. President, this is at least the fifth time you’ve called off airstrikes against Iran since April to negotiate. What is your message to the American people who are wondering what has changed this time? Why should it be any different?
Hours before Trump spoke at the White House, Iranians dismissed both the notion of ongoing talks and U.S. control of the Strait.
“We currently have no negotiations with the United States,” Foreign Ministry Spokesperson Esmail Baqaei told reporters, according to the official Iranian Fars news agency. “Instead, we are working, in consultation with Oman, to determine a route for vessel traffic through the Strait of Hormuz at the earliest opportunity. This arrangement is naturally temporary and is intended to ensure the safety of navigation in the Strait of Hormuz.”
Responding to claims that Pakistani and Qatari representatives were involved in negotiations with the United States, Baqaei said, “I am not aware of any such matter. We are neither expecting to host a delegation in the coming days nor planning to send one abroad.”
The Iranians appear to be coalescing around hardliners from the Islamic Revolutionary Guard Corps. One Israeli journalist suggested that Supreme Leader “Mojtaba Khamenei has given IRGC Commander Ahmad Vahidi the final say on all key decisions regarding the United States.”
• According to my sources, Tehran has concluded that the United States can no longer be trusted, and IRGC Commander Ahmad Vahidi’s approach has effectively become the regime’s official policy.…
— דרור בלאזאדה | Dror Balazada (@DBalazada) August 3, 2026
As we noted earlier in this piece, amid debate over control of the Strait, Iran struck the Liberian-flagged bulk carrier Minoan Pioneer with an unknown projectile near the Oman coast, a maritime security official told us.
The United Kingdom Maritime Trade Operations center (UKMTO) stated on X that it “received a military-source report of a mayday from a vessel. A second vessel relayed that the first vessel was struck by an unknown projectile in its engine room and crew accommodations.”
“One crew member was reported missing and the remaining crew evacuated safely, UKMTO added. “A fire was reported, the vessel lost power and required assistance. The vessel was last reported at anchor. UKMTO has been unable to contact the vessel.”
Meanwhile, United States Central Command (CENTCOM) still enforces a blockade of Iranian ports, an operation that remains a sticking point in the negotiation process.
“As of Aug. 3, CENTCOM has redirected 44 commercial vessels, disabled 2, and boarded 2,” the command stated on X Monday afternoon.
U.S. forces continue to strictly enforce the U.S. blockade against Iran. As of Aug. 3, CENTCOM has redirected 44 commercial vessels, disabled 2, and boarded 2. pic.twitter.com/dTu90UVAcH
As the U.S. continues to maintain a large presence in the region, another report emerged highlighting the immense expenditure of munitions during this conflict.
The U.S. Army has “used up much of its stockpile of highly accurate long-range missiles” since Epic Fury was launched on Feb. 28, Reuters reported, citing three people familiar with the data.
The missiles are principally the Army’s surface-to-surface weapons, known as Army Tactical Missile Systems (ATACMS) and Precision Strike Missiles (PrSM). The U.S. has used “virtually all” of these weapons, according to two of the sources. The sources all declined to say how many of each munition the U.S. had left.
Supply figures on ATACMS and PrSMs “circulated inside the federal government over the last week during tense conversations inside the Trump administration about how much longer the U.S. can continue striking Iran without drawing down the stockpile to levels that would limit the military’s ability to respond to crises elsewhere,” Reuters added.
That PrSM is low is no surprise because the production just began. But no one should pretend that the combined depletion of ATACMS/PrSM is not a huge problem. https://t.co/BuSJNFZ8JH
Several days earlier, “the top U.S. general in Europe privately warned the Pentagon…that he lacks sufficient naval forces to continue protecting Israel from incoming ballistic missiles,” The Washington Post reported.
Gen. Alexus Grynkewich, the head of U.S. European Command, “sent written notification to senior Pentagon officials saying that without another Navy destroyer he will be forced to choose defense of the United States ‘homeland’ over that of Israel, said the officials,” the Post stated. “A U.S. defense official said Grynkewich’s notification appears consistent with past outreach to the Pentagon from the military’s top generals when they see certain risks that require Washington’s consideration. This can occur, the official said, as commanders compete for finite resources and weapons.”
EXCLUSIVE: The top U.S. general in Europe has privately warned the Pentagon that he needs more naval forces if he is to continue protecting Israel from incoming ballistic missiles.
Destroyer deployments and maintenance are at issue after months of war with Iran, officials say.
The depletion of ATACMS and PrSMs and Grynkewich’s notification come amid growing concerns over the supply of munitions, especially air defense interceptors. The lack of sufficient magazine depth is an issue that TWZ has raised frequently for years, and especially in regard to America’s air and missile defenses, in particular. In fact, we laid out in detail these exact concerns and how they would be a major issue in war with Iran just prior to the conflict starting in a feature you can read in full here.
New estimates of American Patriot PAC-3 and THAAD anti-ballistic missile interceptor stockpiles in American inventory from CSIS.
“This targeting comes in response to the Saudi enemy’s violation of the airspace in the provinces of Saada and Hajjah using its drones,” Houthi spokesman Yahya Saree claimed on X. “We affirm to the Saudi enemy that any violation of our airspace will not go unpunished or without retaliation.”
There was no immediate confirmation about the attack from the Saudis. The Houthis often exaggerate or make up claims and TWZ cannot independently verify this one.
تمكنت القوات المسلحة اليمنية بفضل الله من استهداف هدف حساس للعدو السعودي في مطار نجران وذلك بطائرة مسيرة وكانت الإصابةدقيقة. يأتي هذا الاستهداف رداً على خرق العدو السعودي للأجواء في محافظتي صعدة وحجة بطيرانه المسير. نؤكد للعدو السعودي أن أي خرق لأجوائنا لن يمر دون رد وعقاب.
However, Saudi ship transits through the BAM are now almost non-existent since the Houthis imposed their blockade, according to the Windward maritime intelligence firm.
“Crossings fell to a lower baseline after the July 20 Houthi threat announcement, driven almost entirely by the collapse in Saudi-linked traffic,” Windward noted on X. “Non-Saudi vessels have held steady for two weeks at an average of 37 crossings per day — roughly 22% below pre-announcement levels. Saudi-linked crossings dropped to just 0.86 per day last week, the lowest recorded so far, with zero crossings on three of the seven days.” The threat “is functioning as a selective pressure on Riyadh’s Red Sea export route rather than a blanket corridor shutdown,” Windward added. “This matters because Saudi Arabia had already shifted significant volumes to Yanbu and the Red Sea to bypass Hormuz. That alternative is now under direct commercial strain.”
Saudi traffic through Bab el-Mandeb has almost vanished.
Crossings fell to a lower baseline after the July 20 Houthi threat announcement, driven almost entirely by the collapse in Saudi-linked traffic.
Non-Saudi vessels have held steady for two weeks at an average of 37… https://t.co/sCZaS7P9ma
As we have frequently detailed, a Houthi blockade of the BAM threatens to add far greater pressure on oil exports from the Middle East, already drastically affected by the Iranian closure of the Strait of Hormuz and the resumption of the U.S. blockade on Iranian ports. Asia in particular relies on these shipments. The Yemeni rebel group has expanded its target set, hitting oil terminals and infrastructure Saudi Arabia is using to pump supplies to tankers in the Red Sea. The kingdom has diverted millions of barrels of oil per day through pipelines to its Yanbu port on the Red Sea in an effort to minimize the energy shortages due to the hostilities in the Persian Gulf. Even with the BAM closed, oil exports could still head to the West, via the Suez Canal.
But if the infrastructure used to convey these energy products is put out of action, the consequences could be even more severe, with far less or even no energy supplies from Saudi Arabia moving out of the Red Sea. The closing of the BAM also raised the specter of the U.S. having to get as involved as it did during the previous Houthi campaign against shipping that ended last September, which could pull resources away from Iranian-focused operations.
Though there is conflict in two regions of the Middle East, an expansion to Ukraine appears to have been avoided.
Major General Mohsen Rezaei, military adviser to Iran’s Supreme Leader, claimed on Monday that Tehran was prepared to launch a strike against Ukraine in retaliation for a Ukrainian attack on an Iranian ship in the Caspian Sea last month.
The situation dates back to July 26, when Ukrainian President Volodymyr Zelenskyy reported a successful long-range strike on a ship in the Caspian Sea that, according to him, was being used to transport military cargo to Russia. Iran accused Ukraine of attacking a civilian vessel in the Caspian Sea, claiming that one sailor was killed and another wounded.
Military adviser to Iran’s Supreme Leader, Major General Mohsen Rezaei:
“We had prepared to strike three different locations in Ukraine, but after they publicly apologized for striking our vessel, we decided not to escalate.” pic.twitter.com/GR8z64G2pW
Israeli attacks come amid ongoing talks with Lebanese officials to implement framework for peace between two countries.
Published On 24 Jul 202624 Jul 2026
The Israeli army has attacked the southern Lebanese town of al-Mansouri and carried out blasts in the nearby village of Majdal Zoun, Lebanon’s National News Agency reports, despite the “ceasefie” and ongoing talks between the two countries.
The explosion in Majdal Zoun on Friday was heard as far away as city of Tyre, over 15 kilometres (nine miles) away, according to local reports.
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The attack and demolitions have become a routine feature of life in southern Lebanon, despite a United States-brokered framework that is supposed to end the fighting and lead to “peace”.
On Thursday, an Israeli strike on an ambulance in Nabatieh al-Fawqa injured two medics. The Lebanese Health Ministry called the attack a “flagrant violation of international and humanitarian laws and norms”.
Israel has been systematically levelling entire villages near the border, with Israeli officials openly declaring the objective of erasing Lebanese towns out of existence to create a “security zone”.
Israel occupies nearly fifth of Lebanese territory and has killed more than 4,000 people since fighting erupted on March 2, maintaining that its operations are aimed at stopping Lebanese armed group Hezbollah from launching assaults into northern Israel.
However, the demolitions bear close resemblance to Israel’s tactics in Gaza, where a “ceasefire” has not halted the Israeli military’s campaign to destroy the territory. Rights advocates say Israel’s policies aim to make the strip uninhabitable.
US President Donald Trump promised to “help” Lebanon during a White House meeting with Lebanese president Joseph Aoun earlier this week.
Asked whether there will be a timeline for Israel’s withdrawal from the country, Trump said: “They’re in the process of doing that. They’re in the process of redeploying [to] other sections.”
Under the framework agreement signed in Washington on June 26, the Lebanese army is to take over Israel-occupied territories in the south, provided that Hezbollah is disarmed.
Lebanese and Israeli officials have been meeting regularly to discuss the implementation of the deal with the next round of talks scheduled for August 4 in Italy.
Hezbollah has rejected the agreement outright, with its leader Naim Qassem calling the deal “null and void” and calling for armed resistance to push Israel out of Lebanon.
The deal sets no timeline for withdrawal. Instead, it outlines two “pilot zones” where the Lebanese military “will gradually assume full and effective security responsibility”.
The Lebanese army deployed to the first pilot-zone villages this week. But residents returning to Froun and Ghandouriyeh say their villages were never occupied by Israeli forces, arguing that Israel has not given back any territory.
The Senate was also expected to vote on War Powers resolution, in largely symbolic move attempting to reign in Trump.
Four Republicans in the United States House of Representatives have again joined Democrats in voting to constrain President Donald Trump’s power to wage war against Iran.
The resolution passed on Thursday, nearly a week after three US military personnel were killed by an Iranian attack on a base in Jordan, with a 214-208 vote. Senate Minority Leader Chuck Schumer has said Democrats will also force a War Powers vote in the Senate on Thursday.
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Both the House and Senate had previously passed a resolution in June that called on Trump to seek congressional approval before launching further attacks. However, because the resolution was passed as a so-called “concurrent resolution”, it was not sent to Trump’s desk.
Even if the measure had been passed as a joint resolution, requiring it to be sent to Trump for approval, the president could veto it. Overriding such a veto requires a two-thirds vote in both chambers.
Democrats have said the latest resolution sends an important message that lawmakers oppose Trump’s approach to the war, which has re-escalated after a ceasefire broke down in early July.
Both the US and Iran have traded 12 days of consecutive attacks, with some analysts warning an even greater US escalation may be on the horizon, as Trump has repeatedly threatened attacks on civilian infrastructure and a possible ground invasion.
“This is a vote that requires us to find the strength to do what is right for the American people, and to send the clearest, even stronger message to this president of the United States that the United States Congress, the House of Representatives, is reasserting our authority over war,” Representative Pramila Jayapal said from the House floor on Wednesday.
“This war must end,” she said.
Under the US Constitution, only Congress can declare war, something it has not done since World War II, although presidents can commit forces in instances of pressing self-defence.
Trump has argued that the culmination of Iran’s actions since 1979 represents such an imminent threat, a claim many constitutional law experts have rejected.
Under the 1973 War Powers Act, presidents must receive congressional approval within 60 days of committing troops. While the US-Israel war with Iran began on February 28, the Trump administration claimed that hostilities had “terminated” following a temporary pause in fighting reached in April.
War powers experts and some members of Congress have said the attempted workaround flouts the law. The administration again notified Congress that fighting had resumed before the most recent round of attacks.
In a statement on Thursday, David Janovsky, acting director of The Constitution Project at the Project On Government Oversight (POGO), said the House vote “reaffirmed what people across the country have been saying all along: We want no part in an illegal war”.
“Contrary to the administration’s claims, the latest hostilities are not a new war. We’re now months past the constitutional deadline for the administration to end this unauthorised war,” he said.
He also noted that the House on Tuesday approved a sprawling $1.15 trillion defence bill that includes tens of billions more in funding for the war. The Senate has not yet voted on the package.
“If Congress is serious about bringing an end to this prolonged conflict, it must also refuse the administration’s request to fund it,” he said.
Iran says it is suspending all commitments reached with the U.S. under the Islamabad Memorandum of Understanding a month ago, accusing Washington of violating the deal through a wave of military strikes.
“We were in negotiations. Unfortunately, it was the Americans themselves
WASHINGTON — A tentative armistice between the United States and Iran reached less than a month ago appeared all but dead Wednesday after the two sides traded fresh military strikes, and as President Trump directed further attacks on the Islamic Republic.
The escalation marked a dramatic turn after the Trump administration spent weeks selling a diplomatic breakthrough with Tehran that proved controversial across the political aisle, lifting oil sanctions and a naval blockade on Iran in exchange for the promise of talks over the status of the Strait of Hormuz and its decades-old nuclear program.
Now, speaking to reporters at the NATO summit in Turkey, Trump said he believed the truce — which diplomats describe as a memorandum of understanding — was “over” and that it was a “waste of time” dealing with Iranian leadership.
“They’re scum. They’re sick people,” Trump said of Iranian leaders, whom he had characterized last month as “very rational people” and “very nice to deal with.”
The president’s dim views of the ceasefire agreement’s fate were shared by Iran’s foreign ministry, which issued a statement on Wednesday saying the American attacks, the reinstatement of a U.S. naval blockade on the Strait of Hormuz, and Israel’s continuing attacks in Lebanon rendered “important and fundamental” parts of the deal “ineffective.”
The truce’s unraveling was underscored by Trump ordering the U.S. military to launch a series of strikes against Iran on Wednesday afternoon to “further degrade their ability to threaten” the commercial shipping through the Strait of Hormuz.
“The United States is holding Iran accountable for recent unjustified aggression against commercial shipping and civilian crews freely navigating a vital international waterway,” U.S. Central Command said in a statement on social media.
Earlier in the day, Trump signaled that the United States planned to “hit them hard” and floated the possibility of taking over Kharg Island, which is vital to Iran’s economy. His remarks quickly prompted oil prices to rise and global stock markets to fall, a worry that Trump acknowledged but which did not seem to sway his decision-making in relation to Iran.
“If we hit Iran, oil goes up a little bit, it is all right,” Trump said. He later added that the United States may “do some other thing that could lift it a little bit, but I don’t think it’s gonna lift it a lot at all.”
As Trump signals the continuation of fighting, his administration has been seeking more than $67 billion in funding to cover expenses related to the Iran war, a request that Congress has not yet approved as lawmakers have been split over the president’s handling of the conflict.
“The American people are paying the price for Trump’s total failure in Iran,” Senate Minority Leader Chuck Schumer (D-N.Y.) said in a statement Wednesday. “Our troops are back in harm’s way and high gas costs are continuing to punish working families.”
The president’s stance on the war marked the latest setback to a fragile truce that has barely held since the 14-page agreement was signed June 17, as the U.S. and Iran engaged over the last few weeks in cycles of attacks and counterattacks.
Trump was noticeably angrier at Iran on Wednesday as he cast doubt over the deal. Last month, Trump had complimented Iranian leadership for trying to reach a peace deal and celebrated the reopening of the Strait of Hormuz, a crucial shipping route for the world’s oil and gas. But based on his remarks, it was clear he was out of patience.
“I am not happy with them,” Trump said. “They’re cuckoo. There’s something wrong with these people. For 47 years, they’ve been the bully of the Middle East and they are not the bully anymore. They are not the bully anymore.”
Trump expressed frustration with Iran’s negotiators and their resistance to abiding by U.S. demands to reopen the strait. When asked if he intended to send troops to Iran, the president dismissed the idea.
“Why would I go in now?” Trump said. “I’d go in when they’re completely eliminated or an agreement is made.”
Still, the president kept the door open for negotiations, saying that his envoys Steve Witkoff and Jared Kushner “want to negotiate.”
“They’re good people, Steve Witkoff, Jared Kushner, but they have to come back to me,” Trump said. “As far as I’m concerned, it’s just a waste of time dealing with [the Iranians]. They’re liars.”
The latest breakdown to the ceasefire followed a now-familiar chain reaction of tit-for-tat attacks, starting with a series of strikes on three oil tankers transiting the Strait of Hormuz on Tuesday, including a Qatari vessel carrying natural gas, according to the United Kingdom Maritime Trade Operations center.
The Qatari tanker was off the coast of Oman when it was hit and caught fire, the maritime monitor said, in what experts say was a move to thwart ships attempting to use an alternate transit route to the one Iran specified. Iran did not claim responsibility, but a report on Iranian state television said the Qatari tanker came under attack after ignoring warnings to turn back.
The two other vessels were damaged but were able to continue to their destination, according to the U.K. group.
Qatar, which has played a vital role in facilitating negotiations between the U.S. and Iran, condemned the attack on its tanker as “unacceptable.”
The U.S. responded with a wave of strikes against more than 80 Iranian targets aimed at “impos[ing] heavy costs for targeting and attacking commercial shipping crewed by innocent civilians in an international waterway,” according to a statement from U.S. Central Command. That tally included roughly 60 Islamic Revolutionary Guard Corps small boats in the strait.
Iranian state media said U.S. strikes targeted Sirik, Qeshm Island and Bushehr and Bandar Abbas, while a U.S. drone strike on the port city of Mahshahr killed one Revolutionary Guard member.
Ahead of the strikes, the White House revoked the 60-day temporary license given to Tehran to sell and deliver oil during the truce.
Iran’s military countered with its own strikes on 85 U.S. military facilities in Bahrain and Kuwait; it also shot down an MQ-9 drone, according to a statement on Wednesday.
Kuwait said its military intercepted two ballistic missiles and 13 drones, but that none had resulted in material damage or casualties.
Global oil prices surged 6% on news of Trump’s reversal on the deal, rising to more than $78 a barrel, down from the peak during the war but still above prewar levels.
The renewed violence appeared to have little effect on the funeral for Iran’s Supreme Leader Ayatollah Ali Khamenei, who was killed in an Israeli strike on Feb. 28, in the war’s opening hours.
The funeral, a days-long period of mourning, is set to end on Thursday, when Khamenei’s body will return from Iraq to be buried in the city of Mashhad, his birthplace. Negotiations were to begin once more.
In his remarks Wednesday, Trump said Iranian leaders had asked for a “timeout” to attend the funeral, and that he had promised not to kill them.
“And I said give it to them, and they start shooting missiles,” Trump said.
Whether those talks — which were meant to deal with the thorniest issues between the two countries, including the Strait of Hormuz and Iran’s nuclear program — will go ahead remains unclear. Iran, for its part, maintained a defiant attitude.
“The era of bullying and extortion is over,” wrote Mohammad Ghalibaf, Iran’s parliamentary speaker. “It leads nowhere. We don’t fold.”
Ali Akbar Velayati, a senior advisor to the supreme leader, posted on X that Trump’s policy had “driven the region towards fire.”
“We had previously warned that the region is not a place for the political gambling of small countries, and we have repeatedly proven that adventures are met with an immediate response,” he wrote.
He added that the Axis of Resistance — a reference to Iran’s network of allied groups in Lebanon, Iraq and Yemen — would not be “silent against humiliation and adventurism” and has “its finger on the trigger.”
Bulos reported from Beirut and Ceballos from Washington.
Shares fell on Wednesday in Europe and Asia, and oil prices surged nearly 6% after US President Donald Trump said the tentative ceasefire with Iran was over, raising the prospect of renewed military conflict between the two countries.
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Asked whether the memorandum of understanding with Iran was over, Trump told reporters at the NATO summit in Ankara: “To me, I think it’s over. I don’t want to deal with them,” according to Reuters.
This came after US Central Command said its forces struck more than 80 targets in Iran overnight, including command-and-control networks, coastal radar installations, anti-ship missile capabilities and vessels operated by the Islamic Revolutionary Guard Corps (IRGC). Washington also revoked a waiver that had allowed Iran to restart oil exports.
Brent crude, the international standard, jumped more than 6% by 10:45 CEST to $78.79 a barrel, while US benchmark crude rose 6.3% to $74.88 a barrel. Both had declined recently to around the levels seen before the war with Iran began in late February.
The latest flare-up, despite commitments to seek a peaceful resolution to the conflict, has added to uncertainty over oil prices after they fell from their peak well above $100 during the war. It also comes amid worries that the craze for artificial intelligence-related shares has pushed prices beyond the productivity gains and profits likely to result from massive investments in computer chip production capacity and data centres.
“As such, geopolitical headlines will likely determine market sentiment over the coming hours. A further deterioration in the situation could weigh further on equity valuations along with rising stress in technology,” Ipek Ozkardeskaya of Swissquote said in a commentary.
Stock markets fall
In share trading, Germany’s DAX shed more than 2.2%, at around 11 CEST, while the FTSE 100 in London lost 1.5%, and France’s CAC 40 fell more than 2%.
US stock futures were down about 1% at the same time.
In Asia, Tokyo’s Nikkei 225 lost 2.1% to 66,819.05, while South Korea’s Kospi shed 5.4% to 7,246.79.
The South Korean index has soared and then fallen back, briefly surpassing the 9,000 level last month before succumbing to heavy selling in AI-related technology shares such as Samsung Electronics and SK Hynix. Samsung fell 6.3% early Wednesday after dropping about 7% the day before. SK Hynix reversed early gains to fall 5.7%.
Taiwan’s Taiex rose 0.6%. In Hong Kong, the Hang Seng rose 3% to 24,193.56.
Shares in Chinese AI model start-up Zhipu, also known as Z.ai and traded as Knowledge Atlas Technology, rose nearly 14% on Wednesday.
The Shanghai Composite index declined 0.5% to 3,970.88.
On Tuesday, the roller-coaster ride for AI stocks turned lower again, dragging Wall Street down. The S&P 500 fell 0.4%, though the majority of stocks within the index rose.
Losses among AI-related stocks dragged the Nasdaq Composite 1.2% lower, while the Dow Jones Industrial Average fell 0.2%.
Advanced Micro Devices sank 6.5%, Intel shed 9.7%, and Micron Technology lost 4.7%.
SpaceX, which owns the xAI business, fell 6.8% on its first day of trading in the Nasdaq-100 index.
Rivian Automotive dropped 18.1% after the electric vehicle company said it would sell 75 million shares, diluting existing shareholders’ stakes.
In currency trading early Wednesday, the US dollar rose to 162.26 Japanese yen from 162.11 yen. The euro climbed to $1.1426 from $1.1414.
Iranian Foreign Minister Abbas Araqchi speaks at a press conference in Baghdad, Iraq, on June 28, 2026. Iranian and U.S. envoys will travel to Doha, Qatar, to discuss the cease-fire with Qatari intermediaries. Photo by Iran MFA/UPI | License Photo
June 30 (UPI) — American and Iranian delegates arrived Tuesday in Doha, Qatar, for “technical talks” to discuss the memorandum of understanding that created a cease-fire between the two countries.
Qatari Foreign Ministry spokesman Majed al-Ansari said Tuesday that these are not high-level talks.
Unlike the recent talks in Switzerland with Vice President JD Vance and Iranian chief negotiator Mohammad Bagher Ghalibaf, these will be led by U.S. Special Envoy Steve Witkoff and Iranian Deputy Foreign Minister Kazem Gharibabadi. They will not meet in person and the talks will be mediated by Qatari officials. President Donald Trump‘s son-in-law Jared Kushner also participated.
Witkoff and Kushner met with the prime minister of Qatar, Sheikh Mohammed bin Abdulrahman al-Thani.
The discussions will “produce documents that will be elevated to principles in the high-level meetings to agree upon,” al-Ansari said.
Some of the topics expected to come up are: Financial restrictions and lifting sanctions on Iran, how to establish the free flow of vessels through the Strait of Hormuz, the future of Iran’s nuclear program, the potential release of Iran’s frozen assets and regional security, CNN reported.
Iran insists that the MOU gives it authority over the strait and has threatened ships that don’t travel on Iranian-mandated routes.
“If vessels pass through other routes, we will oppose it, we will try to prevent it, and if anything happens to those vessels, the responsibility will be their own,” Gharibabadi said on Monday, according to Iranian state media.
Iranian Foreign Ministry Spokesperson Esmaeil Baghaei said on Tuesday that the discussions will be about the MOU.
“What will probably take place in Doha tomorrow is a discussion with the Qatari side on the implementation of some provisions of the memorandum of understanding, including the provision concerning the release of Iran’s restricted assets,” Baghaei said.
White House Border Czar Tom Homan speaks during the Faith and Freedom Coalition 2026 Road to Majority Policy Conference at the Washington Hilton on Friday. Photo by Bonnie Cash/UPI | License Photo
The US has conducted new strikes on Iran, following a drone attack on a Panama-flagged vessel in the Strait of Hormuz on Saturday.
US Central Command (Centcom) said it hit multiple targets across Iran in direct response to “continued aggression” against commercial shipping.
In retaliation, Iran’s Islamic Revolutionary Guard Corps (IRGC) said it has launched missiles and drones at US infrastructure in Kuwait and Bahrain, in a statement shared to state media.
Following the exchange of fire, the US and Iran accused each other of violating the ceasefire agreement.
Centcom said in a statement, “Iran was given a chance to honor the ceasefire agreement but elected not to when its forces launched a one-way attack drone that hit MT Kiku,” a Panama-flagged tanker.
In response, it said, US fighter jets conducted strikes on 10 Iranian military targets at multiple locations in and near the Strait of Hormuz. These includedmilitary equipment, communication systems, air defense sites and drone storage facilities.
In the IRGC’s statement, it said the US had attacked five coastal posts in Iran under what it called “the pretext of the IRGC Navy confronting the offending ship”.
In retaliation, the IRGC said it had launched ballistic missiles and drones at “eight key pieces of infrastructure” at the Ali al-Salem base in Kuwait and the Fifth Naval Fleet in Port Salman, Bahrain, “destroying them”.
A US official has told Reuters that there were no reported US casualties or major impacts or damage to US facilities in the Middle East.
The IRGC said that under the Memorandum of Understanding signed earlier this month, Iran has arrangements for controlling passage and navigation in the Strait of Hormuz, and from now on, violating ships will be dealt with more forcefully than in the past.
“Any potential enemy aggression, under any pretext, even if the aggressions are against minor targets, as happened last night and tonight, will have a crushing response,” read the statement.
It also accused the US of violating the ceasefire agreed to in the memorandum of understanding between the two nations, warning that it “will lead to a complete halt to the process”.
The Iranian Foreign Ministry has also condemned what it described as the “brutal attacks” a violation of the ceasefire, adding it showed that the US “does not place the slightest value and credibility on its commitments, and breaking promises is part of its nature.”
Shortly after the latest US strikes on Iran were announced, Trump said on Truth Social that it was “very possible” that Tehran would “never learn”.
“There may come a point when we are no longer able to be reasonable, and will be forced to militarily complete the job that we very successfully started,” he wrote on Saturday evening.
The post went on: “If that happens, the Islamic Republic of Iran will no longer exist!”
In the hours following the US strikes, Kuwait and Bahrain both reported that their air defence systems had been activated.
“Kuwaiti air defenses are currently confronting hostile missile and drone attacks,” the Kuwaiti Armed Forces said in a statement shared to X, asking the public to adhere to security instructions.
Bahrain’s Ministry of Interior has urged citizens to “remain calm and head to the nearest safe place”.
Centcom said that commercial vessels are continuing to operate in the Strait of Hormuz.
The latest strikes come less than a day after the US launched retaliatory strikes on Iran that it said were in response to a drone attack on Singapore-flagged cargo ship, MV Ever Lovely, on 25 June.
Centcom described the American strikes as “a powerful response” to the attack on the cargo ship, adding that the “unwarranted aggression against commercial shipping by Iranian forces clearly violated the ceasefire”.
Tehran said the cargo ship was attacked because it was using an unauthorised route to transit through the Gulf waterway, and said that the retaliatory strikes qualified as a ceasefire violation by the US.
In a statement released on Saturday morning, Iran’s foreign ministry said it had carried out more strikes against targets linked to American forces in response, and blamed the “treaty-breaking US regime” for the situation.
The US and Iran agreed on 17 June to end hostilities under a 14-point memorandum of understanding, which had also called for Iran to use its “best efforts for the safe passage of commercial vessels with no charge for 60 days”.
The Strait of Hormuz is a key waterway for oil and gas shipments, and was effectively closed by Tehran after the US and Israel launched attacks on Iran at the end of February.
The shutdown of the critical channel caused a spike in global oil prices and prevented shipments of other crucial commodities such as fertiliser.
Hezbollah deputy leader Naim Qassem has rejected a new cease-fire between Lebanon and Israel. File Photo by Wael Hamzeh/EPA
June 27 (UPI) — Israel and Lebanon have created a framework for a cease-fire, though Hezbollah is already rejecting it because it calls for disarming the organization.
The neighboring countries signed a cease-fire deal in Washington, D.C., Friday without Hezbollah’s input. The deal says that Israel will withdraw from Lebanon if Hezbollah is disarmed. But Hezbollah leader Naim Kassem said the group will keep fighting until Israel is forced to leave Lebanon.
It’s unclear how Lebanon plans to force Hezbollah to disarm.
“The important principle established in the agreement is that there will be no redeployment by Israel in southern Lebanon, no withdrawal, as long as the terrorist organization Hezbollah is not disarmed throughout Lebanon, and the safety of the residents of the north is guaranteed,” Israeli Defense Minister Israel Katz said in a video statement Saturday evening.
“This is the basic condition to which Prime Minister Benjamin Netanyahu and I have pledged and which we are being implemented,” he said.
Israel said it warned its military to plan for an extended stay.
“The test will be in implementing the agreement, and many more challenges are expected,” Katz said. “The Prime Minister and I have instructed the IDF to prepare for an extended stay in the security zone, and to deploy accordingly to protect IDF soldiers and remove threats from northern communities.”
Hezbollah supporters protested in Beirut after the agreement was announced.
A former U.S. diplomat told Al Jazeera that the cease-fire deal benefits Israel more and could be dangerous for Lebanon.
“In the end, I don’t think it will achieve peace. It’s a formula for an open-ended struggle. In the long run, it’s not even really good for Israel, although right now they feel like they have the upper hand,” Middle-East expert Nabeel Khoury said.
But the agreement will allow Israeli troops to return home.
“Essentially, these demands that the Lebanese armed forces do the work that the Israelis couldn’t do, or it proved too costly for the Israelis to do. They want the Lebanese army to do their bidding,” Khoury said.
“If the Lebanese army can go after Hezbollah, all over Lebanon, is what is being demanded of them, and the Israelis simply lend air support, then this is advantageous for Israel,” he added.
The cease-fire framework calls for Israel to initially withdraw from two small areas called pilot zones. But it didn’t say where those areas are. Then, the Lebanese army will gradually take over security for the areas.
Israel and Lebanon have agreed on a new framework agreement after four days of marathon talks in Washington, DC, brokered by the United States, trying to end the months-long conflict.
Israel has been occupying almost 20 percent of Lebanese territory in the south and has killed more than 4,000 people since fighting erupted on March 2. A previous bout of fighting ended in a ceasefire in November 2024, but Israel carried out almost daily attacks and refused to end its occupation in breach of the deal.
The new deal, however, does not specifically call for the withdrawal of the Israeli forces and instead ties it to the disarmament of Hezbollah – a condition repeatedly rejected by the Iran-backed armed group.
Hezbollah chief Naim Qassem on Saturday rejected the framework agreement, calling it “null and void”. Hezbollah has demanded that Israel first end its occupation.
Hezbollah supporters flooded the streets of the capital, Beirut, on Friday evening to oppose the deal.
So, what is the new agreement, which does not include Hezbollah, and can it lead to peace in Lebanon?
US Secretary of State Marco Rubio looks on as State Department Counsellor Daniel Holler, Israel’s ambassador to the US, Yechiel Leiter, and Lebanon’s ambassador to the US, Nada Hamadeh, sign a framework agreement between Israel and Lebanon, at the State Department in Washington, DC, June 26, 2026 [Ken Cedeno/Reuters]
What’s in the Israel-Lebanon agreement?
After the trilateral signing in Washington, the US Department of State released the text of the agreement, which talks of a “sequenced process” that will see the Lebanese army restore “effective sovereign authority over all Lebanese territory, pending the verified disarmament of non-state armed groups” – a clear reference to Hezbollah.
The deal does not mandate Israeli withdrawal from the fifth of Lebanese land it occupies. Instead, the framework notes that Israel shall “progressively redeploy” out of Lebanon, offering two “pilot zones” where the Lebanese military “will gradually assume full and effective security responsibility”.
“One [pilot zone] is south of the Litani River and outside the security zone altogether, and the other is north of the Litani – a small area in the expanded security zone that we conquered in the last two weeks, and which the [Israeli military] says it does not need,” Israeli Prime Minister Benjamin Netanyahu later said in a statement.
Once these conditions are met, “Lebanese civilians will be able to safely return to these areas under the exclusive control of Lebanese state authorities,” the framework says. More than 1.2 million people have been forcefully displaced.
Israel says that successfully returning southern Lebanon to Lebanese government control would “eliminate any future need for [Israeli military] action or presence in Lebanon” and “[declared] that it has not territorial ambitions in Lebanon”.
The Lebanese government has signed that it rejects “the claims of any state or non-state actor to use force on its behalf without its explicit authorization,” deeming such attacks “illegal” and “contrary to Lebanese national interests”.
Hezbollah supporters block the old airport road in the southern suburbs of Beirut, with burning tyres to protest against the trilateral agreement that was signed between the US, Israel and Lebanon on June 27, 2026 [Ibrahim Amro/AFP]
How have parties to the conflict reacted to the agreement?
Israel
Netanyahu issued a video statement shortly after the agreement was announced, stressing that the framework would allow the Israeli military to remain in the occupied Lebanese land.
“We will maintain [the buffer zone] until Hezbollah disarms and as long as there is a threat to the State of Israel,” Netanyahu said.
It is also a partial, momentary win for Netanyahu, who faced intense domestic criticism after the US and Iran sidelined Israel to sign the Islamabad Memorandum of Understanding, which mandates an end to hostilities in Lebanon as well.
Lebanon
President Joseph Aoun expressed gratitude to Trump and other regional mediators after the signing of the trilateral agreement, which he hailed as “the first step on the path to restoring Lebanon’s sovereignty”.
In a statement from the Lebanese presidency, Aoun noted that the framework also “marks the beginning of the road to fructify [Lebanese citizens’] sacrifices, so that they may return to their fully liberated land”.
His statement has done little to tamp down the tensions in the capital, where supporters of Hezbollah took to the streets, burning tyres and blocking a road leading to the airport.
People react, as they watch Hezbollah chief Naim Qassem deliver a televised speech on a giant screen at the burial site of former Hezbollah leader Hassan Nasrallah, on the outskirts of Beirut, Lebanon, June 17, 2026 [Mohamed Azakir/Reuters]
Hezbollah
Though the armed group is not a party to the agreement, and was not present at the negotiating table, its posture and actions will dictate where the conflict heads in the future.
The Hezbollah leader on Saturday condemned proposals to tie the Israeli withdrawal to the group’s disarmament. “Linking the Israeli withdrawal to the disarmament of the resistance throughout Lebanon is a very dangerous proposition that crosses all red lines,” he said.
“The framework agreement in Washington is humiliating, shameful, and a surrender of sovereignty,” he said.
He added that the framework agreement should be replaced by the Iran-US Memorandum of Understanding (MoU) signed on June 15.
Earlier, Hassan Fadlallah, a Hezbollah representative in the parliament, said Lebanese authorities would not be able to enforce the framework agreement unless, with US support, “they go to civil war”.
In a televised speech before the agreement was signed, Qassem said that Hezbollah would hold its weapons closer, ready to fight Israel for Lebanon, if the Lebanese state fails to do so.
The Iran-US MOU called for the “territorial integrity and sovereignty of Lebanon” – a similar wording has been used in the framework agreement.
United States
US Secretary of State Marco Rubio, Washington’s point person in Israel and Lebanon talks, announced an “immediate” $100m donation by the US towards humanitarian assistance in coordination with the UN.
At the signing ceremony at the State Department in Washington, Rubio appeared to acknowledge the limited scope of the agreement, calling it “the beginning of the beginning.”
“There’s a lot of work ahead. We don’t in any way underestimate the difficulty of the task ahead, but we understand the importance of it, how vital it is, and we are honored to have played a part in bringing this together,” he said.
Two previous ceasefire agreements brokered by Washington failed to stop the fighting in Lebanon, as well as the Islamabad MOU, signed by President Trump and his Iranian counterpart Masoud Pezeshkian, earlier this month.
Iran
Though Tehran is yet to officially react to the agreement, its state media has been pressing against the deal.
Fars news agency noted that the agreement is essentially the US permitting Israel to violate the first clause of the Islamabad MOU, which mandated the cessation of hostilities on all fronts, including Lebanon.
Does the Israel-Lebanon agreement contradict the Islamabad MOU?
Analysts point towards two direct contradictions between the preliminary deal signed by the US and Iran, and the latest agreement between Israel and Lebanon.
In short, the Islamabad MOU mandates the end of hostilities on all fronts, including Lebanon, with no conditions – while the Israel-Lebanon agreement ties it to Hezbollah’s disarmament.
Israel has not adhered to any of the ceasefire agreements, including earlier ones, and continued with its assault on Lebanese territories. On Saturday, Lebanese state news agency NNA reported that the Farah amusement park intersection in Nabatieh al-Fawqa was targeted by an Israeli drone strike.
Israel has killed at least 4,192 people in Lebanon since the start of the war on Iran four months ago.
Secondly, the Islamabad MOU does not refer to or mention any of the Iran-backed proxy armed groups among its listed clauses to take forward the negotiations to end the war.
Tahani Mustafa, a visiting fellow on the Middle East and North Africa programme at the European Council on Foreign Relations, told Al Jazeera that Israel and Washington would “definitely use the fact that Hezbollah refuses to disarm and capitulate to blame Hezbollah for derailing the entire process”.
Mustafa further added that Israel “has also proven that it is acting in bad faith, which really gives no confidence to Hezbollah to disarm or capitulate in the way that is being demanded.”
Washington is not blame-free either, she noted, arguing that “the American negotiators actively work behind the scenes to try and decouple Lebanon and Iran.”
“This has really just been something that both the Israelis and the Americans have attempted to cook up behind the scenes and once again obfuscating the blame for its failure,” she told Al Jazeera.
Mourners put wreaths on the grave during the funeral of Israeli soldier Alexander Filin, who, according to the Israeli army, was wounded and later died in an explosive attack by Hezbollah in southern Lebanon, in Haifa, Israel, June 21, 2026 [Shir Torem/Reuters]
Can a deal work if Hezbollah rejects?
This is not the first time that Hezbollah’s disarmament is on the table – and the existing challenges remain. The 2024 deal also called for Hezbollah’s disarmament, but it could not be achieved as Israel continued to attack Lebanon and refused to withdraw its troops in breach of the deal.
Alon Pinkas, an Israeli former ambassador and consul general in New York, says he is “very doubtful and sceptical” that this will work out because the deal is between Israel and Lebanon with the US; the issue here is Hezbollah.”
Iran’s linking of the Lebanon conflict to the maturation of an agreement with the US, Pinkas says, “complicates things [because] Netanyahu said that [Israel] would not yield to any linkage to Iran and that Israel would defend itself in Lebanon”.
Al Jazeera’s Ali Hashem said that the agreement is an “existential threat” to Hezbollah’s presence.
“Without Hezbollah’s consent, this is not going to happen,” Hashem said. “This is going to be a recipe for another confrontation. The Lebanese government isn’t capable of imposing this deal. It’s not the de facto force on the ground.”
The US has struck Iran for the first time since the two sides reached a Memorandum of Understanding on June 17. The US says it hit Iranian military sites amid claims Iran’s forces attacked a commercial ship in the Strait of Hormuz.
The US has struck Iranian missile and drone storage sites in retaliation for what it says was an Iranian attack on a commercial ship in the Strait of Hormuz. The tit-for-tat has raised doubts about the stability of the US-Iran agreement, as Kimberly Halkett reports.
June 26 (UPI) — President Donald Trump said Friday that Iran has attacked ships in the Strait of Hormuz and that it’s a violation of the cease-fire between the United States and Iran.
A cargo ship in the strait was attacked Thursday, but it’s unclear if this is the attack about which the president was speaking.
“The Islamic Republic of Iran shot at least four One Way Attack Drones at Ships transversing the Strait of Hormuz. One of the Drones solidly hit the upper deck of a large and very expensive Cargo Carrying Ship. Damage was done, but the Ship was able to proceed on its way. We knocked down three other Drones. Obviously, this is a foolish violation of our Ceasefire Agreement. President DONALD J. TRUMP,” the post on Truth Social said.
Trump did not address the negotiations with Iran.
Iranian Deputy Foreign Minister Kazem Gharibabadi posted a statement on X Friday emphasizing Iran’s control of the strait.
“Safe passage through the Strait of Hormuz, with ambiguous arrangements, parallel routes, or decision-making outside of Iran’s considerations as the coastal state, cannot be guaranteed. Any credible framework must be based on coordination with Iran and the provisions of paragraph five of the Islamabad Memorandum of Understanding. Otherwise, the outcome will be the suspension of the designated parallel route,” the post said.
The memorandum of understanding that Trump and Iran’s president signed on June 17 established the cease-fire and opened passage through the strait. In the fifth paragraph, it said Iran will use its “best efforts” to ensure the safe passage of commercial vessels with no charge for 60 days, The Hill reported.
On Thursday, the United States issued a joint statement with the Gulf Cooperation Council saying that “free, unconditional, and unrestricted navigation” through the strait is guaranteed under international law.
“The Ministers rejected any tolls, fees, or attempts to assert control over the strait,” the statement said. The council includes Bahrain, Kuwait, Oman, Qatar, Saudi Arabia and the United Arab Emirates.
A missile identified as “Khorramshahr-4” was on display during a public rally in Tehran’s Enghelab Square on April 21, 2026. Photo by Behnam Tofighi/UPI | License Photo
US announces the temporary easing of oil sanctions for 60 days after Iran agrees to allow international nuclear inspections.
Published On 23 Jun 202623 Jun 2026
Iran’s top negotiator, Mohammad Bagher Ghalibaf, says an agreement has been reached with the United States to release $12bn in frozen Iranian funds following talks in Switzerland.
The US eased sanctions on Iranian oil for 60 days after Tehran committed to allowing international nuclear inspectors to return to the country during negotiations to end the US-Israel war on Iran.
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Israel and Lebanon are scheduled to hold talks in the US as a ceasefire appears to be holding in Lebanon.
So what’s the latest as the conflict enters its 116th day?
Diplomacy
Iranian Deputy Foreign Minister Kazem Gharibabadi says technical talks with the US have concluded and the next phase “will take place under the supervision of the high-level committee” that includes Ghalibaf, Foreign Minister Abbas Araghchi and US Vice President JD Vance.
Ghalibaf has hailed “good achievements” in the US-Iran talks and confirmed the release of two tranches of $6bn in frozen funds.
The US Treasury Department has waived sanctions on the sale of Iranian crude oil, petrochemicals and petroleum products until August 21.
Omani Foreign Minister Badr Albusaidi reaffirms a commitment for “toll-free passage” in the Strait of Hormuz after talks with Iranian diplomats in Muscat.
Henry Ensher, a former US ambassador and deputy assistant secretary of state, says the release of frozen Iranian assets and the resumption of maritime traffic in the Strait of Hormuz suggest that Washington and Tehran are both “getting what they want”. “Both sides are very interested to show that, somehow, they’ve gotten the upper hand or at least that they’re not being taken advantage of,” Ensher tells Al Jazeera.
In Iran
Iranian President Masoud Pezeshkian has called for a “full commitment to agreed obligations”. “The effectiveness of the talks depends on full commitment to the agreed obligations and their precise implementation,” Pezeshkian says.
Ghalibaf has defended the decision to hold talks with the US, saying Iranian delegates went to Switzerland to end the bloodshed in Lebanon.
Central Bank of Iran Governor Abdolnaser Hemmati has denied comments by US President Donald Trump that released Iranian funds would be used to buy US farm products. Hemmati tells the Tasnim News Agency that Iran has “no obligation to buy” agricultural products from the US. He says the agreement between the US and Iran on the matter says the first $6bn can be used to buy “basic goods and medicine”.
In the US
Trump says Iran “will agree” to have weapons inspections and any released Iranian assets will be used to buy US produce.
Democrats on the Foreign Affairs Committee of the US House of Representatives have accused Trump of granting Iran sanctions relief before making progress on key issues under negotiation, including Tehran’s nuclear programme. “Trump officials repeatedly said sanctions relief would be tied to Iran addressing its nuclear program and terrorist proxies. Neither has been addressed, but the regime has been gifted sweeping sanctions relief it has dreamed of for decades,” they say in a post on X.
In Lebanon
A ceasefire between Israel and Hezbollah has largely held, even as fear of renewed hostilities has kept displaced people from returning home.
The United Nations said Sunday marked the first time its peacekeepers have detected no air attacks in Lebanon since March 2, the day the war between Israel and Hezbollah escalated and two days after the US-Israel war on Iran began.
Mahmoud Qamati, deputy head of Hezbollah’s political council, has warned that the Lebanese group will respond to any violation of the ceasefire by Israel, according to Iran’s Press TV. “Hezbollah remains fully alert with its finger on the trigger, ready to confront any violation by the Israeli regime,” Qamati is quoted as saying.
Israeli Prime Minister Benjamin Netanyahu, Defence Minister Israel Katz and Chief of the General Staff Eyal Zamir say Israeli troops will continue to occupy southern Lebanon.
The Israeli military will continue to “act with determination in order to neutralize threats against our soldiers and our citizens” and to demolish infrastructure belonging to Hezbollah, they say in a statement.
The Israeli military will also continue to “maintain the security zone in southern Lebanon”, they say, referring to the land Israel occupies there, razing buildings and forcibly displacing one million people.
Israel and Lebanon are to start a new round of direct talks in Washington, DC, on Tuesday.
Israel and Hezbollah agreed to a ceasefire in Lebanon after escalating violence threatened to derail potential peace talks regarding the ongoing war in Iran. This ceasefire was announced just before 4 p.m. Lebanon time, with a U. S. official confirming that negotiations, facilitated by the U. S. and Qatar with assistance from Iran, had led to this agreement. Both sides indicated they would uphold the ceasefire, with an Israeli official stating that Israel would remain in southern Lebanon but would not engage in conflict unless attacked.
The recent conflict included intense airstrikes that resulted in 18 deaths and injuries to 33 others in Lebanon. Four Israeli soldiers were also killed by Hezbollah. This violence could complicate U. S.-Iran negotiations, as establishing peace in Lebanon is key to a broader agreement. The recent memorandum signed by the presidents of the U. S. and Iran postponed discussions on critical issues like Iran’s nuclear program, granting parties 60 days to agree on a lasting solution or extend the current deal.
Technical talks were planned in Switzerland but were postponed, and officials from both the U. S. and Iran indicated that their respective negotiators would not be attending. Hezbollah lawmakers suggested that further discussions hinge on a complete ceasefire and urged the Lebanese government to reject any negotiations with Israel as long as hostilities continued.
The interim agreement seeks an end to military operations in various regions, including Lebanon, but Israel maintains that it is not a part of these deliberations. The fighting began when Hezbollah fired at Israel, prompting Israeli military responses, including strikes targeting Hezbollah’s positions.
Lebanon’s health ministry confirmed the heavy toll from recent airstrikes, and its President condemned Israel’s actions while emphasizing the commitment to achieve a comprehensive ceasefire. The broader conflict, which originated on February 28 with U. S. and Israeli attacks on Iran, has reportedly resulted in at least 7,000 deaths, primarily in Iran and Lebanon.
Despite the conflict’s impact on oil prices, which had risen due to concerns over regional stability, the signing of the interim deal resulted in a drop in prices as shipping through the Strait of Hormuz resumed. Under the terms of the agreement, Iran will receive economic relief and unfreezing of assets, with negotiators tasked with addressing the status of Iran’s nuclear program and establishing a reconstruction fund within the next 60 days.
In the face of criticism in the U. S., former President Trump defended the deal, arguing that the war had weakened Iran and affirming that the terms would lead to significant concessions from Iran without offering direct financial support.
Iran’s government has portrayed the interim agreement with the United States as a victory that ended months of conflict and prevented further escalation. The deal halted a war that saw U.S. and Israeli airstrikes, disruptions to trade, and severe economic damage across Iran.
However, interviews with ordinary Iranians reveal a starkly different picture. Many citizens say years of sanctions, combined with the recent conflict, have left them struggling with rising prices, declining living standards, and deep uncertainty about the future. While the fighting may have stopped for now, many remain unconvinced that the agreement will bring meaningful economic relief or lasting stability.
Economic Hardship Continues to Dominate Daily Life
For many Iranians, the ceasefire has not changed the reality of daily economic struggles.
Business owners, students, and workers interviewed across the country described a population focused on survival rather than recovery. Many reported cutting household spending, reducing social activities, and adjusting to higher living costs. Small businesses continue to face weak consumer demand, while young people increasingly worry about their economic prospects.
The war added another layer of pressure to an economy already weakened by years of international sanctions, inflation, and limited foreign investment. As a result, many citizens see little immediate prospect of improvement even if the ceasefire holds.
Divided Views on the Outcome of the Conflict
The agreement has exposed a clear divide between the government’s narrative and public sentiment.
Supporters of the Islamic Republic view the deal as proof that Iran resisted external pressure and preserved its political system. Some hardliners argue that the country emerged stronger and demonstrated resilience despite military and economic pressure.
Many ordinary citizens, however, are less focused on geopolitical outcomes and more concerned about living standards. For them, the key measure of success is whether the agreement leads to lower prices, economic opportunities, and greater stability. So far, few appear convinced that such changes are imminent.
Concerns Grow Over Political Freedoms
Beyond economic concerns, many Iranians fear that the post war environment could lead to tighter political controls.
Some citizens believe the government may use the conflict and national security concerns to justify stronger oversight and restrictions. These fears are particularly pronounced in regions populated by ethnic minorities, where previous protests have often been met with heavy security responses.
There is also uncertainty about whether public frustration over economic conditions could trigger future demonstrations. While many people remain cautious after previous crackdowns, underlying grievances over jobs, inflation, and political freedoms remain unresolved.
The ceasefire may have reduced the immediate threat of war, but it has done little to address the deeper challenges facing Iran. Public opinion appears increasingly shaped by economic realities rather than political declarations of victory.
The government may benefit in the short term from ending the conflict and avoiding further military escalation. However, lasting stability will depend on whether authorities can deliver tangible economic improvements and restore public confidence.
The biggest challenge for Tehran is that expectations remain extremely low. Many Iranians do not see the ceasefire as a turning point but rather as a temporary pause in a broader cycle of economic hardship and political uncertainty. If future negotiations fail to produce sanctions relief, investment, and economic recovery, public frustration could continue to grow despite the end of active conflict.
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What’s Next
Attention will now shift to negotiations aimed at turning the interim agreement into a permanent settlement. Iranian leaders will seek economic benefits and sanctions relief, while Washington is expected to push for further commitments on security and nuclear issues.
Domestically, the government faces the challenge of managing economic expectations and maintaining stability. Whether the ceasefire translates into meaningful improvements for ordinary Iranians may ultimately determine how the agreement is judged inside the country.
Drone attacks target vehicles in Nabatieh amid fragile ceasefire negotiations between Iran and the US.
Published On 16 Jun 202616 Jun 2026
Multiple Israeli strikes have killed at least four people in southern Lebanon’s Nabatieh governorate, according to Lebanon’s National News Agency (NNA), despite a ceasefire and a recent understanding between the United States and Iran to end the war on all fronts.
Tuesday’s killing took place as separate drone attacks targeted two vehicles in Mayfadoun. A third vehicle was also targeted in the village of Shoukin, the agency said.
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Throughout the often fragile negotiations between Iran and the US, Iranian officials repeatedly said that any ceasefire arrangement would need to include an end to Israeli attacks on Lebanon.
While the final text of the memorandum of understanding has not yet been made public, the prime minister of Pakistan, which is acting as one of the mediators in the conflict, said on Monday that the agreement envisaged an immediate halt to military operations “on all fronts, including Lebanon”.
Iran’s Foreign Minister Abbas Araghchi said on Tuesday that Israel’s continued occupation of southern Lebanon would violate the deal, adding that “without the withdrawal of Israeli forces from the territories they occupied during this war, the war has not fully come to an end”.
In a phone conversation with Lebanon’s Parliament Speaker Nabih Berri, Iran’s top negotiator, Mohammad Bagher Ghalibaf, called for the US to compel Israel to end its war on Lebanon, stop home demolitions, and withdraw from occupied Lebanese territory.
Soon after the announcement of the deal between the US and Iran, Israel’s Prime Minister Benjamin Netanyahu said that Israel will continue to occupy southern Lebanon.
Meanwhile, Lebanese group Hezbollah says it has received assurances from Iran that Tehran will demand a withdrawal of Israeli troops from Lebanon in its next phase of talks with the US, the Reuters news agency reported.
Since the resumption in fighting on March 2, at least 3,826 people have been killed by Israeli attacks in Lebanon and 11,851 wounded, according to the country’s health ministry.
Weekly insights and analysis on the latest developments in military technology, strategy, and foreign policy.
Here’s TWZ’s weekly carrier tracker monitoring America’s flattop fleet, including deployed Carrier Strike Groups (CSG) and Amphibious Ready Groups (ARG), using publicly available open-source information. Check out last week’s report here.
The U.S. naval blockade of Iranian ports remains in full effect, for now, pending the execution of the ceasefire agreement, scheduled to be formally signed on Friday in Geneva, according to a notice released today by NAVCENT. U.S. Central Command (CENTCOM) forces launched multiple waves of strikes last week against Iran following the shootdown of a U.S. Army Apache helicopter, and disabled an additional two commercial vessels that tried to skirt the blockade, bringing the total to nine. Two carriers, USS Abraham Lincoln and USS George H.W. Bush, embarked with a combined seven squadrons of F/A-18E/F Super Hornets, two squadrons of EA-18G Growlers, and one squadron of F-35C Lightning IIs, continue to support “self defense” strikes and blockade operations.
The Lincoln CSG has been deployed for nearly seven months and would likely be among the first naval assets to rotate out of the theater if the blockade winds down. The details, and scale, of the drawdown of forces in the CENTCOM area of responsibility (AOR), as agreed upon in the memorandum of understanding (MOU), are murky as of publication. More than 20 U.S. Navy surface combatants have been operating in the region.
U.S. Navy fighter jets and command and control aircraft prepare to take off from USS Abraham Lincoln (CVN 72) as the ship transits the Arabian Sea. pic.twitter.com/SAGl2e7y0e
USS Nimitz entered the final leg of her homeport shift to Norfolk, operating off the east coast in U.S. 2nd Fleet AOR after a monthslong circumnavigation of South America, according to flight tracking data and public AIS. Nimitz conducted operations northwest of Cuba and the Bahamas last week. On Thursday, six Super Hornets, attached to the “Kestrels” of Strike Fighter Squadron (VFA) 137, carried out an air power demonstration and show of force, dropping MK-82/BLU-111 bombs on a simulated target in the Gulf of America.
U.S. Navy photo by LT Will “Simple Will” Shortal LT Will “simple Will” ShortalU.S. Navy photo Petty Officer 2nd Class Peter McHaddad
On the west coast, USS Theodore Roosevelt continues working up in preparation for a future deployment. The flattop got underway on June 10 for INSURV inspections to verify readiness and returned to San Diego the following day. The group was also spotted conducting a live fire exercise with the Mk 38 25mm machine gun. USS Carl Vinson got underway for sea trials after a nine-month Planned Incremental Availability (PIA) and moored at port in San Diego on June 13.
U.S. Navy photo by Mass Communication Specialist Seaman Devin Kraemer Seaman Recruit Devin Kraemer
In the Western Pacific, USS George Washington is on a summer patrol and operating in the Philippine Sea. The CSG conducted a replenishment-at-sea with USNS Earl Warren and helo operations while underway in the vicinity of Guam last week. Destroyer USS Shoup, part of the CSG, pulled into Apra Harbor early this morning, according to AIS.
Eyes in the sky.
An MH-60S Sea Hawk assigned to Helicopter Sea Combat Squadron (HSC) 12 operates above Nimitz-class aircraft carrier USS George Washington (CVN 73) while underway in the Philippine Sea.
Two ARG-MEUs are currently deployed. Forward-deployed USS Tripoli continues operations in the CENTCOM AOR, and USS Boxer is underway in the Indo-Pacific (INDOPACOM) AOR, operating in the South China Sea. For a detailed review of America’s amphibious assault fleet, check out our recent report here.
Note: Positions are general approximations.Non-deployed LHA/LHD amphibious warships are not shown.
Contact the author: ian.ellis-jones@teamrecurrent.io
People stand near the site of an apartment targeted by an Israeli airstrike in Beirut’s southern suburbs on Sunday. Photo by Wael Hamzeh/EPA
June 14 (UPI) — The Israeli military launched an attack on Hezbollah targets in Beirut on Sunday, accusing the group of violating a cease-fire agreement earlier in the day and throwing an Iranian peace deal into question.
The Israeli strikes hit the southern suburbs of Beirut, specifically in Dahiyeh, a neighborhood where Hezbollah holds sway, The New York Times reported.
Lebanon‘s state-run news agency, NNA, reported that two people died and four others sustained injuries in the attack. A strike hit a residential building, the agency said, as reported by NBC News.
Lebanese security sources told NBC News that Israel fired two missiles in a targeted strike. Israel said it hit a Hezbollah command center used to “advance terrorist attacks against the citizens of the state of Israel and [Israel Defense Force] soldiers operating in southern Lebanon.”
Hours before the strike, the Israeli military accused Hezbollah of violating a cease-fire by firing toward Israel.
Israeli Prime Minister Benjamin Netanyahu and Defense Minister Israel Katz issued a joint statement confirming they ordered the strike.
“Israel will not tolerate fire into its territory,” they said.
Sunday’s violence between Israel and Lebanon could complicate U.S. and Iranian negotiations for a peace deal. The United States and Pakistan — which has acted as a mediator — said Saturday the agreement was ready to be signed Sunday in an additional round of talks, but Iranian Foreign Ministry spokesman Esmail Baghaei said there were no plans for Iran’s negotiators to be involved in any talks for the next few days.
Mohammad Bagher Ghalibaf, Iran’s speaker of parliament and chief negotiator with the United States, accused Washington of “giving the green light” to Israel for its attack on Dahiyeh.
“The game of bad cop and good cop is outdated,” he said in a post on X.
“If you lack the will and ability to fulfill your commitments, speaking of continuing the path is not possible.”
President Donald Trump was apparently incensed about Sunday’s attack and issued a rare rebuke against Netanyahu — saying he has “no [expletive] judgment” — in comments to Axios.
Trump called on Israel and Hezbollah to stand down in a post on Truth Social.
“This morning’s attack on Beirut should not have happened, particularly on a special day when we are so close to a Peace Deal with Iran,” he wrote. “Israel has the right to defend itself against threats, but the attack it was responding to was very small and meaningless, nobody was hurt, injured, or killed, and should not disrupt this important process.
“This could be the beginning of a long and beautiful peace — Let’s not blow it!”
The US-Iran ceasefire announcement has raised hopes in Lebanon, after Pakistani mediators claimed it included an end to Israel’s war on the country. But as Al Jazeera’s Heidi Pett explains, we’ve been here before.
The United Arab Emirates has agreed to unlock billions of dollars for Iran, pursuing a tactical shift after weeks of Iranian attacks on the wealthy Gulf Arab state amid its ongoing war with the United States and Israel, four sources told the Reuters news agency.
The report on the move coincided with the final stages of broader negotiations between Tehran and Washington to end the war. Diplomats say those talks involve the release of tens of billions of dollars in Iranian oil revenues frozen in foreign banks under US sanctions.
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Two regional sources told Reuters that the UAE had agreed to release a total of $10bn, more than $3bn of which had already been delivered.
Two other sources with knowledge of the arrangement put the total funds involved at $20bn, adding that the move had been agreed in return for a halt to Iranian attacks on the UAE.
One of the sources with knowledge of the arrangement also said a first tranche of $3bn had already been made available.
Reuters could not establish whether the funds earmarked for the transfers belong to the UAE or originate in long-blocked Iranian accounts in the UAE banking system, or elsewhere.
But a UAE official, asked to comment on the transfer, said the country was trying to ease tension and foster peace.
“The UAE’s foreign policy is guided by promoting de-escalation and reducing tensions across the region, while advancing lasting peace and stability,” the official said.
“The UAE supports efforts, including those undertaken by the United States, to protect the peoples of the region from the repercussions of conflict.”
The White House did not immediately respond to Reuters’s request for comment on the move.
‘Red line’ workaround
Earlier on Friday, Vice President JD Vance said that frozen funds would not immediately be released to Iran upon signing a deal with the US.
He said the potential deal is structured to ensure that economic benefits would flow to Tehran if it meets its obligations.
There was no immediate response from Iranian authorities to a Reuters request for comment on the move.
None of the sources cited by Reuters would agree to be identified due to the sensitivity of the matter.
The arrangement signals a striking pivot from the open animosity of UAE-Iran relations through much of the war, when Iranian attacks emptied Dubai’s hotels, drove some expatriates to flee and shook the reputation for safety that is central to the country’s position as a premier business hub.
One of the sources with knowledge of the arrangement said the move offered a way to help solve the conflict between the US and Iran without either side crossing its red line. Iran can claim it extracted compensation for war damages. Washington can insist it paid nothing.
Abu Dhabi, meanwhile, obtains its own security and protects Dubai’s hub status, while framing the move as an investment in rebuilding regional trust.
The other source with knowledge of the arrangement said that in return for the disbursement, Iran would halt missile and drone attacks on the UAE, and there would be a rebuilding of bilateral ties, including intelligence sharing and economic cooperation.
The source added that Iran had approached at least two other Gulf Arab countries to make a similar arrangement.
The last known direct attack by Iran on the UAE was more than a month ago – a May 4 strike on the Gulf state’s Fujairah port on the Gulf of Oman.
The first source with knowledge of the arrangement said talks had started several weeks ago but quickened pace when officials of Iran’s powerful Revolutionary Guard visited Abu Dhabi last week to meet Sheikh Tahnoun bin Zayed al Nahyan, the UAE’s national security adviser and deputy ruler of Abu Dhabi, and stayed at his guest house.
That trip was followed by a visit by UAE officials to Tehran to negotiate the details of the mechanism.
Frozen funds
Dubai’s banks have long held substantial Iranian-linked deposits, much of them now immobilised under US sanctions that police the global dollar-clearing system and expose any foreign bank dealing with blacklisted Iranian entities to being cut off from the US financial network.
On April 11, a senior Iranian source told Reuters that the US had agreed to release Iranian frozen assets held in Qatar and other foreign banks, although a US official swiftly denied the assertion.
The source, who declined to be named due to the sensitivity of the matter, said that unfreezing the assets was “directly linked to ensuring safe passage through the Strait of Hormuz”, a key issue in talks aimed at ending the conflict.