U.S.Iran

June 12 (UPI) — Iran said it had yet to make a final decision on an agreement with the United States to end the war, despite U.S. President Donald Trump saying it was a done deal that could be signed as early as this weekend.

Speaking on Thursday night, Iranian Foreign Ministry spokesman Esmaeil Baqaei said Tehran was reviewing a proposal brokered by Qatar and Pakistan but dismissed reports agreement had been reached as “speculation,” adding that “nothing has been finalized.”

“So far, Iran has not reached a final conclusion on the agreement. Whenever we reach a conclusion that the text of the [memorandum of] understanding is in the interest of the Iranian nation, we will announce it.

“The status of negotiations was clear to us from the beginning and a major part of the text had been finalized, but the Americans kept changing their positions,” said Baqaei who stressed Iran would never retreat from or compromise “on what it defines as its red lines.”

Baqaei’s comments came hours after Trump called off planned large-scale strikes against Iran, including Kharg Island, from which 90% of Iran’s crude oil exports are shipped, saying the Iranian leadership, and other regional powers, had approved “final points” of a deal to end the war.

“Based on the fact that discussions with the Islamic Republic of Iran have been brought to the highest level of Iranian leadership and approved, I have, as President of the United States of America, cancelled the scheduled strikes and bombings against Iran this evening,” Trump said Thursday afternoon.

Trump later said the deal was “subject to finalization of documents, which should get done, over the next few days” and that there would “probably” be a signing ceremony, with Europe the most likely location.

The status of the Strait of Hormuz was also in contention with an announcement by U.S. Central Command that the key shipping route was not controlled by Iran and was “open for transit” to all vessels not in breach of the U.S. blockade of Iran, contradicted by Baqaei.

“The Strait of Hormuz remains closed due to illegal U.S. actions,” he said.

Trump has stated an agreement to end the fighting was imminent on multiple occasions since a cease-fire, originally for two weeks, came into force on April 28.

The deal being negotiated is a memorandum of understanding extending the cease-fire for 60 days to allow larger negotiations on the main issues, including Iran’s stockpile of enriched uranium and its nuclear program.

Oil prices reacted strongly to the developments overnight with both Brent crude, the international benchmark, and West Texas Intermediate, falling sharply in the global market. The Brent contract for August delivery was down $3.83 a barrel at $86.54 in mid-morning trade in London on Friday while American crude for July delivery was changing hands at $83.88 a barrel, down $3.83.

June 11 (UPI) — The United States and Iran traded attacks Wednesday night for a second straight day with American forces hitting multiple military, surveillance and radar installations in southern Iran and Iran hitting back at its Persian Gulf neighbors.

U.S. Marine Corps, Air Force, and Navy assets deployed precision munitions against Iranian “military surveillance capabilities, communication systems, and air defense sites across Iran” posing a threat to U.S. forces and international commercial ships transiting regional waters,” U.S. Central Command said in a statement on X.

Tomahawk missiles were fired from the guided-missile destroyer USS Michael Murphy.

“The strikes are in response to Iran’s unwarranted and continued aggression,” added CENTCOM.

Bahrain’s Interior Ministry reported a second night of airborne attacks and condemned what it called “sinful Iranian aggression” after an 11-year-old girl was injured.

“Vehicles caught fire and houses were damaged in Hamad Town and Manama due to falling debris of drones interception. Civil Defense and National Ambulance have taken necessary measures,” the ministry said Thursday morning in an online post accompanied by photos of burnt-out cars, blast damage and firefighters tackling blazes.

In a post on X in the early hours of Thursday, the Kuwait Army said its air defense systems were “currently intercepting hostile aerial targets.”

Royal Jordanian Air Force warplanes intercepted and downed 20 Iranian missiles headed toward the Azraq region in Zarqa Governorate, east of the capital, Amman.

In a statement issued Thursday via the National Center for Security Crises and Management, the General Command of the Jordan Armed Forces-Arab Army said debris from downed missiles fell in multiple locations but that there were no injuries or damage.

Meanwhile, the Indian government confirmed the deaths of three Indian crew members missing from the Palau-flagged oil tanker, M/T Settebello, a day after it was struck by the U.S. military in the Gulf of Oman, through which vessels transiting the Hormuz Strait must transit.

“Sadly, three Indian seafarers initially reported missing are now confirmed dead after bodies have been located and identified. This is a profound loss to our maritime family. The Modi government stands firmly with the bereaved during this difficult hour and is fully committed to supporting the next of kin,” Ports, Shipping & Waterways Minister Sarbananda Sonowal wrote on X.

“I have directed officials to ensure immediate repatriation of the rescued crew members and swift return of the mortal remains of the deceased for their final rites.”

CENTCOM said a U.S. aircraft fired precision munitions into the vessel’s engine room Wednesday after the vessel, which it said was violating the United States’ blockade by attempting to ship oil from Iran, failed to comply with instructions from U.S. forces.

U.S. President Donald Trump told reporters today that in the wake of overnight attacks between the U.S. and Iran, strikes on Iran will continue. Meanwhile, Iranian officials say they are “reviewing” whether to continue peace talks after one of the most serious exchanges of fire between the two nations since the April 8 ceasefire.

The latest round of attacks and counterattacks touched off after U.S. Central Command launched three waves of strikes on targets in southern Iran in retaliation for what Trump said was Iran’s downing of an AH-64 Apache helicopter, reportedly by an Iranian Shahed drone. Iran denied attacking the Apache. You can read more about that incident here.

South Korean stocks plummeted more than 4 percent Wednesday amid escalating tensions between the United States and Iran and a tech slump fueled by concerns over the valuation of stocks related to artificial intelligence (AI). The local currency was trading lower against the U.S. dollar.

The benchmark Korea Composite Stock Price Index (KOSPI) shed 366.11 points, or 4.52 percent, to close at 7,730.82, almost eclipsing most of the over 8 percent surge from the previous day.

At one point, the index fell as low as 7,541.11.

Due to the sharp fall, the Korea Exchange had activated a sell-side sidecar for the index at 1:16 p.m., halting program trading for five minutes.

Trade volume was moderate at 457.5 million shares worth 39 trillion won (US$25.6 billion), with losers outnumbering winners 547 to 343.

Foreigners continued their sell-off for the 23rd consecutive session, dumping a net 2.77 trillion won, while retail investors and institutions purchased local shares worth 4.86 trillion won. Institutions sold 2.27 trillion won.

Market analysts said the KOSPI lost ground as tensions resurfaced in the Middle East after the U.S. struck Iran in response to the shooting down of an American Apache helicopter in the Strait of Hormuz and then Tehran hit back.

The risk-on appetite was also sapped by an overnight tech slide on Wall Street caused by concerns over the valuation of the AI stocks on news that Crusoe Energy Systems, a data center developer, suspended one of its projects upon the request of an unidentified big tech customer.

The tech-heavy Nasdaq composite closed 0.97 percent lower, and the S&P 500 dropped 0.26 percent, while the Dow Jones Industrial Average rose 0.17 percent.

Major tech shares led the market decline, with Broadcom losing 1.12 percent, Apple sliding 3.64 percent, Micron falling 1.4 percent and Nvidia down 0.2 percent.

Investors’ eyes are now on the upcoming release of the U.S. Consumer Price Index (CPI), which could give further clues on the U.S. Federal Reserve’s monetary policy amid bets on a hawkish pivot and the initial public offering of SpaceX later this week.

“The South Korean stock market was weighed down as risk aversion sentiment strengthened ahead of the U.S. CPI and Oracle’s earnings release, once triggering a sell-side sidecar,” Lee Kyoung-min, an analyst at Daishin Securities, said.

Lee said a hot inflation report could further contract the market sentiment, raising concerns over a possible U.S. rate hike.

In Seoul, market top-cap Samsung Electronics slid 6.06 percent to 302,500 won, while its chipmaking rival SK hynix plunged 7.54 percent to 2.05 million won.

AI investment firm SK Square shed 6.78 percent to 1.18 million won, and Samsung Electro-Mechanics shot down 8.38 percent to 1.8 million won.

Samsung Life Insurance dipped 6.36 percent to 368,000 won, and Samsung C&T plummeted 5.01 percent to 407,500 won.

Auto shares were also weak, with Hyundai Motor down 5.79 percent to 602,000 won, and its sister Kia losing 2.8 percent to 159,700 won. Hyundai Mobis dropped 4.2 percent to 570,000 won.

Internet portal operator Naver, which had recently rallied on news on its partnership with Nvidia, nosedived 11.67 percent to 227,000 won. Home appliances maker LG Electronics shot down 9.68 percent to 224,000 won.

Major shipbuilder HD Hyundai Heavy was among the few gainers, jumping 4.74 percent to 641,000 won.

Defense giant Hanwha Aerospace also climbed 1.48 percent to 1.03 million won.

The Korean won was quoted at 1,524.2 won against the U.S. dollar at 3:30 p.m., down 12.1 won from the previous session.

Bond prices, which move inversely to yields, closed mixed. The yield on three-year Treasurys added 2.5 basis points to 3.881 percent, and the return on the benchmark five-year government bonds dropped 3.2 basis points to 4.070 percent.

Copyright (c) Yonhap News Agency prohibits its content from being redistributed or reprinted without consent, and forbids the content from being learned and used by artificial intelligence systems.

June 3 (UPI) — Kuwait closed its main airport in Kuwait City on Wednesday after Iranian missile and drone strikes injured several people and caused “significant damage” to its main terminal building as renewed hostilities between the Iran and the United States escalated.

The airport activated its emergency plan, suspending all flights indefinitely after its Terminal 1 building was the target of “Iranian aggression, resulting in significant damage to several airport facilities, in addition to recording human injuries,” the Directorate General of Civil Aviation said in an update on X.

DGCA spokesman Abdullah Al-Rajhi said it has been decided to suspend air traffic and divert flights to alternative airports until further notice pending the completion of repair work to enable the airport to resume operations, saying that inspection and comprehensive assessment by technical and specialized teams was already underway.

Kuwait International Airport only fully reopened on Monday after being closed on and off since the start of the war on Feb. 28.

The attack came hours after Iran and the United States and Iran exchanged fire across the region Tuesday with Iranian forces attacking its Gulf neighbors and the American military striking a vessel attempting to evade its naval blockade and launching “self-defense” strikes on Iran’s Qeshm Island.

The airport was hit in the early hours, shortly after U.S. Central Command said a series of Iranian missiles and drones directed at its regional neighbors had either failed to reach their targets or been repelled by U.S. forces, including two Iranian missiles fired at Kuwait that “fell short or broke apart enroute,” and three others launched at Bahrain that were intercepted by U.S. and Bahrain air defense forces.

CENTCOM said later that an additional wave of Iranian drones targeting U.S. forces in Kuwait was downed by air defenses with no American personnel or assets harmed and dismissed as fake Islamic Revolutionary Guard Corps claims they struck U.S. 5th Fleet headquarters in Bahrain and a U.S. air base in the region with missiles and drones.

No U.S. personnel were harmed. CENTCOM forces remain vigilant and ready to defend against unwarranted Iranian aggression during the ongoing ceasefire.

Moments earlier, U.S. Central Command (CENTCOM) forces shot down three one-way attack drones launched by Iran toward civilian mariners that were rightfully transiting regional waters. American forces also conducted self-defense strikes on an Iranian military ground control station on Qeshm Island.

The American military also downed three attack drones launched by Iran toward civilian mariners that CENTCOM said were sailing legitimately in regional waters and struck on an Iranian military ground control station on Qeshm Island.

“No U.S. personnel were harmed. CENTCOM forces remain vigilant and ready to defend against unwarranted Iranian aggression during the ongoing cease-fire,” it said.

CENTCOM also released footage of a U.S. warplane firing a Hellcat missile at an empty Iran-bound oil tanker in the Strait of Hormuz that it said ignored warnings to stop.

“U.S. Central Command enforced blockade measures against Botswana-flagged M/T Lexie as it transited international waters toward Kharg Island. The ship’s crew ignored repeated warnings, failing to comply with directions from U.S. forces multiple times over a 24-hour period. A U.S. aircraft ultimately disabled the vessel by firing a Hellfire missile into the ship’s engine room, preventing the tanker from reaching Iran,” CENTCOM said.

The pressure is mounting on the shaky ceasefire between the U.S. and Iran with an increasing pace of tit-for-tat strikes between the two foes and Iran’s suspension of peace talks after blaming Israel’s deepening advance into Lebanon. Exacerbating tensions, Tehran claimed it will “completely block” the Strait of Hormuz while threatening to close the Bab al-Mandeb Strait as well. Located at the mouth of the Red Sea, it is another critical regional chokepoint. The Strait of Hormuz has been largely closed to most traffic by Iran since not long after the launch of Epic Fury on Feb. 28.

All these actions are taking place against the backdrop of sputtering negotiations between the U.S. and Iran that have yet to achieve any tangible results.

“Given the continuation of the Zionist regime’s crimes in Lebanon and considering that Lebanon was among the preconditions for the ceasefire, and now this ceasefire has been violated on all fronts including Lebanon, the Iranian negotiation team will stop ‘dialogues and text exchanges through intermediaries,’” the IRGC-affiliated Tasnim news agency stated on Monday. The two sides had been talking through mediators in Pakistan and Qatar.

“Also, the resistance front and Iran have resolved to completely block the Strait of Hormuz and activate other fronts including the Bab al-Mandeb Strait, in order to punish the Zionists and their supporters,” the outlet added.

Iran has been allowing some ships to transit the Strait of Hormuz through what it calls a system of fees paid for environmental and other services. Meanwhile, U.S. Central Command (CENTCOM) has helped guide the passage of about 70 commercial vessels through the Strait of Hormuz, according to The New York Times. This involves communicating and coordinating with ships, not escorting them, CENTCOM told the publication. Most of these transits appear to be closer to Oman than Iran, the publication added.

There were no details provided by Iranian officials about how Iran would completely close the Strait of Hormuz or when such a move could begin.

Tasnim also did not offer specifics about Iran’s threat toward the Bab al-Mandeb Strait or what it could entail. However, the Houthi rebels of Yemen, an Iranian proxy group, waged a protracted 15-month campaign against shipping in that region starting in the fall of 2023. TWZ has previously highlighted concerns that the Houthis could resume these attacks on behalf of Iran in the current conflict. As we have noted, Houthi strikes in this area would add further global economic strain and place additional burden on U.S. forces.

With the Strait of Hormuz closed, Saudi Arabia is rerouting its oil exports through pipelines to the Red Sea. A disruption of that transit option could cause oil prices to rise much higher and more quickly than they already have, creating a cascading wave of financial impacts and shortages across the globe, and especially in Asia. Even if the Strait of Hormuz were opened today, it will still take months for the global economy to recover from the shock. Meanwhile, for Saudi Arabia, the simultaneous closure of both straits is a long-standing nightmare, a financial double-whammy.

Just the recent news of the kinetic exchanges between the U.S. and Iran and Tehran’s decision to call off talks has sent the price of oil once again shooting upwards.

After dropping to a little more than $91 per barrel partly in the wake of President Donald Trump’s unfounded claim he was lifting the U.S. blockade on Iranian ports, the price as of 11:20 a.m. EDT was once again closing in on $100 per barrel, according to OilPrice.com. It reached a high this year of more than $114 a barrel in early May.

Defending against renewed Houthi attacks could require military assets at a time when the U.S. is already heavily committed to Operation Epic Fury and its aftermath that has seen a significant amount of equipment destroyed or damaged and munitions expended. During the previous Houthi Red Sea campaign, the U.S. and allies deployed numerous warships, including the Eisenhower and Truman Carrier Strike Groups (CGS) to both defend against Houthi attacks and strike targets in Yemen. These operations resulted in a large expenditure of air defense and strike munitions, with Houthi capabilities remaining degraded, but intact after it was all over.

You can see video from some of those encounters below.

Strikes on Iranian-backed Houthi Targets by USS Gravely, USS Carney, and USS Dwight D. Eisenhower

Despite the widespread publicity over Tehran’s new positions, Trump told NBC News on Monday that he ​had not heard from Iranians that ‌they were suspending talks. The president added that silence would be fine and he was ​willing to wait.

“I think we’ve been talking ​too much if you want to ⁠know the truth. I think going silent ​would be very good, and that could be ​for a long time,” the president proclaimed. “It doesn’t mean we’re going to ​go and start dropping bombs all ​over there. We’ll just go ‌silent. ⁠We’ll keep the blockade.”

“I think I can wait as long as they want,” Trump continued. “They’re losing a fortune.”

Meanwhile, amid all this turbulence, the U.S.-Iran negotiations remain in limbo.

Early Monday morning, Trump took to social media to claim “Iran really wants to make a deal, and it will be a good one for the U.S.A. and those that are with us.”

Iranians have pushed back on the notion that they are eager for or close to making a deal. You can read more about the reported terms and scope of the talks in our previous reporting here.

As we mentioned earlier in this story, even before Iran reportedly called off talks, there was a heightened state of tension as the U.S. and Iran exchanged a new round of blows.

In a statement on X, U.S. Central Command said that at about 7:30 a.m. Tehran time on Monday,  “U.S. forces successfully intercepted two Iranian ballistic missiles targeting American forces based in Kuwait. These missiles were immediately defeated and no American personnel were harmed.”

The command added that it “remains vigilant and will continue to protect our forces from Iranian aggression while supporting the ongoing ceasefire.”

Kuwait condemned the attack.

The Kuwaiti Foreign Ministry “affirms the State of Kuwait’s reservation of its full right to take whatever measures are necessary to preserve its security and defend its territories, holding Iran fully responsible for these heinous aggressions, in accordance with international law, the United Nations Charter, and the relevant Security Council resolutions,” it stated on X.

Iran, for its part, claimed it launched strikes on an unnamed U.S. base in response to U.S. attacks on Iranian targets on Saturday and Sunday.

In a post on X late Sunday, CENTCOM said it “conducted self-defense strikes on Iranian radar and command and control sites for drones in Goruk, Iran and Qeshm Island this weekend. The measured and deliberate strikes occurred on Saturday and Sunday in response to aggressive Iranian actions that included the shootdown of a U.S. MQ-1 drone that was operating over international waters. U.S. fighter aircraft swiftly responded by eliminating Iranian air defenses, a ground control station, and two one-way attack drones that posed clear threats to ships transiting regional waters.”

“No American service members were harmed,” the command stated. “CENTCOM will continue to protect U.S. assets and interests in response to unwarranted Iranian aggression during the ongoing ceasefire.”

UPDATE: 5:43 PM EDT –

Netanyahu says “he spoke this evening with President Trump and told him that if Hezbollah does not stop firing at our cities and citizens – Israel will strike terrorist targets in Beirut,” according to the Israeli prime minister’s office. “This position of ours remains unchanged. Concurrently, the IDF will continue to operate as planned in southern Lebanon.”

The conversation came after Trump claimed on Truth Social that: “I had a conversation with Bibi Netanyahu today, asking him not to go into a major raid of Beirut, Lebanon. He turned his Troops around. Thank you Bibi! I also had a conversation with Representatives of the Leaders of Hezbollah, and they agreed to stop shooting at Israel, and its soldiers. Likewise, Israel agreed to stop shooting at them. Let’s see how long that lasts — Hopefully it will be for ETERNITY.”

Meanwhile, Hezbollah continued firing on Israeli troops.

“Following the sirens that sounded a short while ago in the area of Metula, a launch was identified falling adjacent to IDF soldiers operating in southern Lebanon,” IDF stated on Telegram. “No injuries were reported.”

Other sirens heard in northern Israel, meanwhile, were determined to be false alarms, according to IDF.

UPDATES

As we noted earlier in our story, Iran is using the escalation of the Israeli-Hezbollah fight as a reason to walk away from peace talks, at least for now.

The move came after Israeli Prime Minister Benjamin Netanyahu on Monday ordered attacks on what he called “terror targets” in the Hezbollah stronghold of the Dahieh section of Beirut. 

“Together with the Minister of Defense, I have instructed the IDF to strike terrorist targets in Beirut,” Netanyahu announced. “There will not be a situation in which Hezbollah attacks our cities and our citizens, and its terrorist headquarters in Beirut, in Dahiyeh, remains out of bounds.”

The Israeli leader added that “we are continuing to deepen our operational activity on the ground in southern Lebanon and are eliminating Hezbollah strongholds. Hezbollah is on the run. We are determined to restore security to the residents of the north, just as we did for the residents of the south.”

Netanyahu’s statement followed Israel proclaiming that it is operating north of the Litani River, a traditional demarcation line for Israeli incursions into Lebanon. Advancing north of the river marks a large escalation and the first time Israel has been that far from its border since withdrawing from southern Lebanon in 2000.

The IDF on Sunday announced it captured Beaufort Castle on Sunday. Overlooking the Beaufort Ridge on the Litani, the castle was once home to Crusaders, seized by them in 1139.

Netanyahu claimed the latest battle over the ancient structure was a victory for Israel.

“The capture of Beaufort is a dramatic stage and a dramatic change in the policy we are leading,” Netanyahu postulated. “We have broken the barrier of fear. We are taking the initiative. We are operating on all fronts – in Syria, in Gaza, in Lebanon. We have established security zones beyond our borders to protect our communities.”

הלוחמים הגיבורים שלנו כבשו את הבופור ואנחנו ממשיכים עד שנשלים את המשימה pic.twitter.com/j0oBy2z9cG

— Benjamin Netanyahu – בנימין נתניהו (@netanyahu) May 31, 2026

An unspecified aircraft fired an AGM-114 Hellfire missile into the engine room of a Gambia-flagged merchant vessel trying to run the blockade, CENTCOM said in an X post on Sunday.

CENTCOM forces “observed M/V Lian Star transiting international waters toward an Iranian port on the Gulf of Oman and issued more than 20 warnings while informing the vessel it was in violation of the U.S. blockade” on May 29, the command stated. “A U.S. aircraft disabled the vessel by firing a Hellfire missile into the ship’s engine room after Lian Star’s crew failed to comply. The ship is no longer transiting to Iran.”

Since the blockade went into effect April 13, “U.S. forces have disabled five commercial vessels and redirected 116 to fully enforce the blockade as a ceasefire with Iran remains in effect,” CENTCOM added.

Other ships have been stopped from running the blockade by having bombs dropped down their smoke stacks, fighters firing 20mm cannon shells at their rudders and inert rounds from a destroyer’s five-inch gun blasting their engine rooms.

A U.S. military aircraft fired a Hellfire missile into a ship’s engine room to prevent it from breaking through the American blockade of Iranian ports. U.S. forces issued more than 20 warnings to the Gambia-flagged ship.

Read more at: https://t.co/PHz1HnlxHk

— Stars and Stripes (@starsandstripes) June 1, 2026

Further highlighting the ongoing danger to shipping in and around the Strait of Hormuz, a cargo vessel transiting the Gulf about 40 nautical miles southeast of Umm Qasr, Iraq, has been hit by an unknown projectile on its starboard side, causing a large explosion, the United Kingdom Maritime Trade Operations (UKMTO) reported on Monday.

UKMTO said it was unaware of any immediate environmental impact.

Since the launch of Epic Fury, UKMTO has received 53 reports of incidents affecting vessels operating in and around the Arabian Gulf, Strait of Hormuz (SOH), and Gulf of Oman. There have been 29 reported attacks, 22 reported suspicious activities and two reported hijackings.

Iran claims it produced a new fast attack speedboat for the Islamic Revolutionary Guard Corps Navy (IRGCN). Dubbed the Rajab 27th, the semi-official Iranian Mehr News Agency described the vessel as a “fast attack watercraft featuring a trimaran hull design, which enhances stability and maneuverability in challenging maritime conditions.”

Mehr also said that the Rajab 27th is “capable of launching two sea-based cruise missiles with a range of 700 kilometers.”

The vessel, stated Mehr, is designed to conduct operations in sea states with wave heights of up to nearly 10 feet, the outlet added.

The unveiling of the new speedboat “highlights the continued development of the IRGC Navy’s fast-attack and missile-equipped maritime capabilities, which play a key role in Iran’s naval defense strategy and operations in southern waters,” Mehr posited.

TWZ cannot independently verify the Iranian claim, though it should be noted that the IRGC has invested heavily in its fleet of small boats for decades as TWZ has explored in the past. In addition to being armed with anti-ship cruise missiles, as well as artillery rockets and other weapons, they can also be used to lay naval mines. While the president claimed that 159 Iranian ships have been destroyed, the IRGC still has a large number of these small vessels.

The images below, taken during the unveiling ceremony, show glimpses of the Rajab 27th with what appear to be a missile container on either side of the boat.

Iran also claims it has restored gas production at three offshore platforms in the South Pars gas field, the head of the Pars Oil and Gas Company has told state media. As we previously reported, the facility was attacked by Israel in March.

Touraj Dehqani said on Sunday that the platforms had not been damaged in the attacks, Iran’s official IRNA news agency claimed.

“Dehqani said production ⁠from the three platforms ⁠was being ⁠routed to other processing plants in the region while repairs ‌continued at damaged facilities,” Al Jazeera noted.

Iran has restored gas production at three offshore platforms ⁠in the South Pars gas field that had been forced to halt output after Israeli attacks disrupted processing capacity ⁠at some onshore facilities, Iranian state media reports citing the chief executive ⁠of the Pars… pic.twitter.com/SGyTCRa2yH

— Al Arabiya English (@AlArabiya_Eng) May 31, 2026

Contact the author: howard@twz.com

May 6 (UPI) — Global oil prices fell sharply and financial markets rallied Wednesday after U.S. President Donald Trump paused a military operation to reopen the Hormuz Strait to commercial shipping to give advanced peace talks with Iran a chance to deliver “a complete and final deal.”

Falls in Brent crude of more than $10 a barrel to $99, American crude by $13 to $92 a barrel and rallies in Asian stock markets overnight that fed into Europe when bourses opened there failed to feed through to U.S. gas prices, which jumped 5 cents a gallon to their highest level of the war.

AAA motor club figures showed a national average of $4.54 for a gallon of petrol and $5.67 for diesel, meaning drivers were paying 53% and 51% more than before the war started on Feb. 28, with the caveat that fuel price adjustments normally lag crude oil price movements by several days.

The White House believes a draft one-page, 14-point memorandum of understanding to end the war and create a structure for more in-depth nuclear talks could succeed in breaking the deadlock, two U.S. officials and two other sources said.

An Iranian foreign ministry spokesman confirmed to CNBC that Iran was in receipt of the U.S. proposal and was “evaluating it.”

The Trump administration anticipates Iran will give its response with regard to the most critical elements of the plan in the next two days and although nothing has been finalized it was being seen as significant because it was the closest the sides had been to a deal since the beginning of the war.

However, Trump also appeared ambivalent, saying Wednesday it was “perhaps” too big of a stretch to believe Iran would take the deal and threatening to order the U.S. military to restart its airborne offensive against the country if it didn’t.

Analysts said investor confidence was boosted mainly by the fact the cease-fire was holding and signs that the economy was nowhere near as badly affected by the war as feared.

“This helped oil prices to come back down again and ease fears about a renewed escalation, with investors a bit more hopeful that an extended stagflationary shock would be avoided,” Deutsche Bank wrote in a note.

It added that investor confidence was also bolstered by new U.S. economic data showing among other positive indicators, that job vacancies declined less than anticipated in March, saying the numbers “cemented the case that the conflict’s wider economic impact was still fairly muted.”

“This helped oil prices to come back down again and ease fears about a renewed escalation, with investors a bit more hopeful that an extended stagflationary shock would be avoided,” they added.

Hopes were also riding on the possibility China would prevail on visiting Iranian foreign minister Abbas Araghchi to persuade Iran to uphold the current truce with the United States, so as not to throw a wrench into Trump’s visit to Beijing on May 14, the first by any U.S. president in almost a decade.

China is one of Iran’s largest customers for its oil exports.

April 28 (UPI) — Average gas prices in the United States hit $4.18 on Tuesday, their highest level since the Iran conflict started, as peace talks between the country and Iran stalled again over proposals on reopening the Strait of Hormuz.

The price jump of 1.6% over Monday’s price was the highest increase in more than a month, The New York Times reported. AAA numbers show that the average price for a gallon of regular gas marks an increase from $4.11 on Monday and $3.98 a month ago.

The price is the highest since April 2022, soon after the Russia-Ukraine conflict started, and about a 40% increase for drivers since the Iran conflict began. Diesel prices are at $5.46, up about 45% in that time.

Meanwhile, officials from the United States and Iran appear at an impasse over reopening the strait and an Iranian proposal to postpone discussion of that country’s nuclear program, something that President Donald Trump has said he will not agree to, USA Today reported. The conflict, as of midday Tuesday, is in a ceasefire, but both countries continue to limit shipping in the region and face off over the Strait of Hormuz.

Trump on Tuesday posted on Truth Social in an apparent response to German Chancellor Friedrich Merz’s comments Monday criticizing the conflict. Merz said in comments to students that he hopes the conflict ends soon and that United States is being “humiliated” by Iranian leaders, USA Today reported.

“He doesn’t know what he’s talking about!” Trump wrote. “If Iran had a Nuclear Weapon, the whole World would be held hostage. I am doing something with Iran, right now, that other Nations, or Presidents, should have done long ago.”

ISLAMABAD — Last-minute ceasefire talks between the United States and Iran looked uncertain Tuesday as a two-week truce was set to expire and both countries warned that, without a deal, they were prepared to resume fighting.

U.S. Vice President JD Vance, expected to lead U.S. negotiators if talks continue in Pakistan, remained in Washington on Tuesday, a White House official said. And Pakistan, which has been urging both sides to return to Islamabad, said it was still awaiting confirmation on whether Iran would participate.

Earlier in the day, two regional officials said Washington and Tehran had signaled they would hold a second round of talks, with Vance leading the U.S. team and Iranian parliament speaker Mohammad Bagher Qalibaf as its top negotiator. Both spoke on condition of anonymity because they were not authorized to brief reporters.

But Pakistan’s information minister, Attaullah Tarar, said later Tuesday on X that Iran had not formally confirmed its participation, which was set to expire Wednesday.

Vance had policy meetings scheduled at the White House on Wednesday morning, said a White House official who was not authorized to speak publicly and spoke on condition of anonymity. The vice president’s office and the White House did not immediately respond to messages asking whether Vance still intends to travel to Pakistan.

Trump says he doesn’t favor extending ceasefire

Both sides remain dug in rhetorically. President Trump has warned that “lots of bombs” will “start going off” if there’s no agreement before the ceasefire deadline, and Iran’s chief negotiator said that Tehran has “new cards on the battlefield” that haven’t yet been revealed.

The ceasefire, which began April 8, could be extended if talks resume, though Trump said in an interview Tuesday with CNBC: “Well, I don’t want to do that.”

“We don’t have that much time,” Trump said, adding that Iran “had a choice” and “they have to negotiate.”

White House officials have said that Vance would lead the American delegation, but Iran hasn’t said who it might send. Iranian state television on Tuesday broadcast a message saying that “no delegation from Iran has visited Islamabad … so far.”

U.S. says its forces board sanctioned oil tanker

On Tuesday, the U.S. said its forces boarded an oil tanker previously sanctioned for smuggling Iranian crude oil in Asia. The Pentagon said in a social media post that U.S. forces boarded the M/T Tifani “without incident.”

The U.S. military did not say where the vessel had been boarded, though ship-tracking data showed the Tifani in the Indian Ocean between Sri Lanka and Indonesia on Tuesday. The Pentagon statement added that “international waters are not a refuge for sanctioned vessels.”

The U.S. military on Sunday seized an Iranian container ship, the first interception under a blockade of Iranian ports. Iran’s joint military command called the armed boarding an act of piracy and a violation of the ceasefire.

Strait of Hormuz control key to negotiations

The U.S. imposed the blockade to pressure Tehran into ending its stranglehold on the Strait of Hormuz, a key shipping lane through which 20% of the world’s natural gas and crude oil transits in peacetime.

Iran’s grip on the strait has sent oil prices soaring. Brent crude, the international standard, was trading at close to $95 per barrel on Tuesday, up more than 30% from Feb. 28, the day that Israel and the U.S. attacked Iran to start the war.

Before the war began, the Strait of Hormuz had been fully open to international shipping. Trump has demanded that vessels again be allowed to transit unimpeded.

European Union transportation ministers were meeting Tuesday in Brussels to discuss how to protect consumers after the head of the International Energy Agency warned that Europe has “ maybe six weeks ” of jet fuel supplies remaining.

Over the weekend, Iran said that it had received new proposals from Washington, but also suggested that a wide gap remains between the sides. Issues that derailed the last round of negotiations included Iran’s nuclear enrichment program, its regional proxies and the strait.

Qalibaf on Tuesday accused the United States of wanting Iran to surrender.

“We do not accept negotiations under the shadow of threats,” he wrote in an X post.

Pakistan hopeful talks will proceed

Pakistani officials have expressed confidence that Iran will also send a delegation to resume talks that mark the highest-level negotiations between the U.S. and Iran since the 1979 Islamic Revolution. The first round April 11 and 12 ended without an agreement.

Pakistan said Foreign Minister Ishaq Dar met Tuesday with the acting U.S. ambassador in Islamabad to urge a ceasefire extension. Dar also met with the ambassador from China, a key trading partner with Iran.

Security has been tightened across Pakistan’s capital, where authorities have deployed thousands of personnel and increased patrols along routes leading to the airport.

Israel jails soldiers for defacing Jesus statue in Lebanon

Israel’s military said Tuesday it has sentenced two soldiers to 30 days in jail and removed them from combat duty for smashing a statue of Jesus Christ in Lebanon. Images of an Israeli soldier with a sledgehammer smashing the statue’s head emerged over the weekend, bringing widespread condemnation.

Israel said one of the soldiers being punished hammered the statue to the ground. The other filmed the destruction. The Israeli military said it replaced the statue.

Meanwhile, historic diplomatic talks between Israel and Lebanon were set to resume on Thursday in Washington, an Israeli, a Lebanese and a U.S. official said. All three spoke on condition of anonymity to discuss the behind-the-scenes negotiations.

The Israeli and Lebanese ambassadors met last week for the first direct diplomatic talks in decades. Israel says the talks are aimed at disarming Hezbollah and reaching a peace agreement with Lebanon.

A 10-day ceasefire began on Friday in Lebanon, where fighting between Israel and Iranian-backed Hezbollah militants broke out two days after the U.S. and Israel launched joint strikes on Iran to start the war. Fighting in Lebanon has killed more than 2,290 people.

Since the war started, at least 3,375 people have been killed in Iran, according to authorities. Additionally, 23 people have died in Israel and more than a dozen in Gulf Arab states. Fifteen Israeli soldiers in Lebanon and 13 U.S. service members throughout the region have been killed.

Ahmed, Gambrell and Bynum write for the Associated Press. Gambrell reported from Dubai, and Bynum reported from Savannah Ga. AP journalists Michelle Price, Aamer Madhani and Darlene Superville in Washington; Samy Magdy in Cairo; David Rising and Huizhong Wu in Bangkok; Sam McNeil in Brussels; Julia Frankel in New York; Bill Barrow in Atlanta and Russ Bynum in Savannah, Ga., contributed to this report.