Israel launched more strikes on Tehran Monday as Iran warned it could start striking power plants in the Gulf region. The threat came after Trump gave Tehran 48 hours on Saturday to reopen the Strait of Hormuz, an ultimatum that sent stocks tumbling.
Iran's Defense Council said Monday that the only way for "non-belligerent" countries to pass through the Strait of Hormuz is through coordination with Iran, and warned that any attack on Iran's coasts or islands would trigger mine-laying across the Gulf sea lanes. The Council also warned of a "decisive and devastating response" to any attacks on Iranian energy infrastructure.
Trump, in his ultimatum, posted in Truth Social, warned: "America will hit and obliterate their various POWER PLANTS, STARTING WITH THE BIGGEST ONE FIRST!" Roughly a fifth of the world's oil transited through the strait last year.
Iran's willingness to attack the transport vessels has virtually halted traffic through the crucial waterway, raising fears of prolonged disruptions to global energy supplies.
Global markets have reacted sharply. Stocks in Asia and Europe fell Monday, while oil prices remained over $100 a barrel, up by more than 50% since the start of the war with Iran.
The latest volatility underscored how the war shows little sign of ending, even as Trump recently suggested he was considering "winding down" military efforts in the region.
Saudi Arabia's Defense Ministry, meanwhile, said it intercepted a ballistic missile launched towards its capital, Riyadh, and continued to intercept drones overnight.
Here are the latest updates:
Iran threatens attacks on Gulf energy infrastructure
Iranian officials warned Monday that if the U.S. follows through on Trump's ultimatum and strikes Iran's power plants, Iran would retaliate against energy and water infrastructure across the Gulf region – including in countries that host U.S. military bases.
In a separate statement, Iran's Defense Council said "non-belligerent" countries could only transit through the Strait of Hormuz through coordination with Iran, and warned that any attack on Iran's coasts or island would trigger mine-laying across Gulf sea lanes that could effectively block maritime traffic beyond the narrow strait.
CENTCOM chief says U.S. campaign is "ahead or on plan" as Hormuz crisis deepens
U.S. Central Command commander Adm. Brad Cooper said Monday that the Strait of Hormuz is "physically open," but argued ships are staying away because Iran was firing missiles and drones at vessels. Cooper made the comments in an interview with Iran International, a London-based Persian news outlet.
Cooper said the U.S. campaign in Iran is "ahead or on plan," saying that Iran's military capabilities are deteriorating.
He also accused Iran of increasingly targeting civilians across the Middle East.
"They're operating in a sign of desperation…in the last couple of weeks they've attacked civilian targets very deliberately, more than 300 times," Cooper said.
International Energy Agency head warns global economy faces "major, major threat"
Fatih Birol, the head of the International Energy Agency, warned Monday that the global economy faces a "major, major threat" from the war's disruption to oil and gas flows.
"No country will be immune to the effects of this crisis if it continues to go in this direction," Birol said speaking at Australia's National Press Club in Canberra Monday.
He added: "The situation is very severe."
"At least 40 energy facilities across nine countries have also been severely damaged in the conflict."
Birol said the current situation was worse than the combined oil crises of 1973 and 1979, which together lost 10 million barrels per day.
"And today, only as of today," we lost 11 million barrels per day – so more than two major oil shocks put together," he said.
Birol said the IEA was consulting with governments in Europe, Asia, North America and the Middle East about releasing more stockpiles of oil, in addition to the "historic" 400 million barrels of oil released earlier this month.
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