The US and Israel on Feb 28 launched what they described as a “pre-emptive” joint strike against Iranian targets, with Trump announcing start of “major combat operations”
Pakistan hosted the first round of face-to-face talks between the US and Iran in 47 years in April; the talks ended without a breakthrough, but also without a breakdown
Ceasefire falters as US, Iran exchange attacks on each other’s military sites; Kuwait, Bahrain targeted in retaliation
India’s central bank left interest rates unchanged, despite the Middle East conflict threatening to stoke inflation and heap pressure on a weak rupee, AFP reports.
The Reserve Bank of India (RBI) said the benchmark repurchase rate, the level at which it lends to commercial banks, would remain at 5.25 per cent after a unanimous vote by a six-member panel.
Central banks in emerging and frontier markets from Indonesia to Sri Lanka have hiked rates in recent weeks to bolster their currencies and tamp down inflationary pressures.
New Delhi has sought to shield Indians by both limiting and staggering fuel price hikes, which has left inflation still below the RBI’s medium-term target of 4pc.
Lebanon’s National News Agency (NNA) reports that an Israeli airstrike overnight on a building in the town of Doueir, in the Nabatieh district of southern Lebanon, killed one person, according to Al Jazeera.
The attack also wounded another person, according to the agency.
Interior Minister Mohsin Naqvi held an important meeting with his Iranian counterpart Eskandar Momeni, focusing on bilateral relations and the current regional situation.
During the talks, both ministers exchanged views on Pakistan-Iran relations and the latest regional situation, according to a post by the interior ministry on X.
They also discussed the reduction of tensions and internal security matters.
US President Donald Trump said he believed progress was being made between Israel and Lebanon and that Lebanon deserved to have peace, Reuters reports.
He continued: “And I think progress is made. It’s been going on for a long time, you know.”
Shipping industry journal Lloyd’s List reports that Iran’s crude oil exports dropped by 84 per cent in May compared with the previous month, Al Jazeera reports.
Iran’s crude exports in May were also 87pc lower than the 12-month average up to the end of April, Lloyd’s List added.
It also reported that Iran has been using smaller oil tankers to ship crude, since Very Large Crude Carriers (VLCC) are at a higher risk of being intercepted by US forces.
US President Donald Trump said that Washington did not need a deal with Iran to get enriched uranium from the country, Reuters reports.
“We could get it right now. I don’t think they could stop us if we wanted, but there’s no reason to. It’s entombed,” he told reporters in the Oval Office.
Trump also said that he did not want to meet with Iran’s Supreme Leader Ayatollah Mojtaba Khamenei.
But he added that if Washington and Tehran reached a deal, it was possible that the two would meet and added: “If it happened … I’d be respectful”.
Oman’s Mina al Fahal terminal has suspended oil loading following an explosion near its single-buoy mooring (SBM) berths, two people familiar with the matter said, according to Reuters.
The explosion occurred between SBM 1 and 2 berths due to an alleged drone attack, they said.
It was not immediately clear when the attack took place.
Israeli forces have continued to attack the historic region of Tyre in Lebanon’s south from the air and ground, according to Al Jazeera.
Lebanon’s National News Agency (NNA) reports that Israeli warplanes launched four missiles that struck in the vicinity of the Jabal Amel Hospital in Tyre.
The renewed strikes come days after another attack across the road from the hospital killed four people and caused “severe damage” to hospital buildings.
Oil prices were little changed following sharp declines in the previous session, with prospects dimming for a near-term end to the US-Israeli war with Iran after Hezbollah rejected a new ceasefire in Lebanon.
Brent crude futures fell 21 cents, or 0.22 per cent, to $95.24 a barrel by 0003 GMT after settling down 2.84pc in the previous session.
U.S. West Texas Intermediate crude was at $92.94 a barrel, down 10 cents, or 0.11pc, following a 3.1pc loss on Thursday.
Both contracts are set to post their first weekly gain in three weeks, with WTI up more than 6pc, after fighting flared up in the Middle East as US-Iran war peace talks dragged on while traffic in the Strait of Hormuz, where a fifth of the world’s oil passes, remained limited.
The US has reaffirmed its commitment to ensuring the security of Kuwait and other Gulf partners amid heightened tensions in the Middle East.
“[I] met with Kuwaiti Foreign Minister Sheikh Jarrah Jaber Al-Ahmad Al Sabah to affirm the United States’ commitment to the security of Kuwait and all our partners in the Gulf,” says US Secretary of State Marco Rubio on X.
“The United States and Kuwait are united in our vision of regional stability and an open and free Strait of Hormuz.”
Eurozone government bond yields are mixed as investors weigh a flare-up in violence in the Middle East against a new ceasefire between Israel and Lebanon, Al Jazeera reports.
While the agreement between Israel and Lebanon to implement a new ceasefire has raised hopes for progress towards ending the wider US-Israeli war on Iran, there are still few signs of progress towards reopening the Strait of Hormuz.
That is a necessary step to ease energy-driven inflationary pressures and dampen expectations for further central bank rate hikes.
“The air for even higher yields is getting thinner in the absence of bleak headlines that would signal a deterioration [in the Middle East conflict],” says Erik Liem, rate strategist at Commerzbank.
Qatar has condemned an attack that targeted a post belonging to the United Nations Interim Force in Lebanon (Unifil) in southern Lebanon, and resulted in the death of a Serbian soldier and injuries to two others from El Salvador and Spain.
“Qatar considers the attack a serious violation of international humanitarian law and UN Security Council Resolution 1701,” a statement from the foreign ministry says.
“The Ministry of Foreign Affairs reiterates Qatar’s complete rejection of any attack targeting Unifil, which plays a vital role in maintaining security and stability in the sisterly Republic of Lebanon,” it adds, stressing the need for an immediate investigation into the attack.
The ministry also expresses Qatar’s condolences to the family of the peacekeeper and the government and people of Serbia, as well as wishes for a speedy recovery for the injured.
US Democratic Congressman Richard Neal has slammed the Trump administration amid soaring prices spurred by the US-Israel war on Iran, Al Jazeera reports.
Speaking during a House Ways and Means Committee hearing, Neal says US households are each paying an additional $750 due to the conflict.
“The price of a tank of gasoline in many places has gone up by almost 50 per cent. That’s a staggering amount,” Neal stated. “The administration continues to argue that down is up, and to convince people that their pain should be subjugated to patriotic causes.”
Hezbollah claims it has struck and destroyed an Israeli Merkava tank in the vicinity of Lebanon’s Beaufort Castle with a missile, Al Jazeera reports.
Israeli forces captured Beaufort Castle, located near the southern Lebanese city of Nabatieh, three days ago, viewing it as a symbolic site in its military assault against Hezbollah. However, several Israeli soldiers have been killed by Hezbollah fighters and drones near the castle since then.
Hezbollah also says it targeted a newly established Israeli army logistical support centre on the outskirts of the town of Qalaat al-Shaqif, where Beaufort Castle is located.
The United States State Department has issued a security alert for Kuwait, advising American citizens to exercise caution following reported drone and missile attacks near Kuwait International Airport, a Dawn correspondent reports.
In its advisory, the State Department said it is closely monitoring the situation after the incidents, which have raised concerns about air safety and potential disruptions at the airport.
Travellers have been urged to remain vigilant, follow instructions from local authorities and airport officials, and check with airlines directly for updates on flight schedules and possible delays or cancellations.
The alert also advises American citizens in Kuwait to stay informed through communications from the US Embassy and to heed civil defence warnings, including sirens and emergency alerts.
The situation remains fluid, with authorities continuing to assess the impact of the reported attacks on airport operations and regional security, the statement adds.
Four Iranian-flagged oil tankers passed through the Strait of Hormuz on Monday, a first since April 15 and the US blockade of Iranian ports, AFP reports citing maritime tracking firm Kpler.
Data from the firm detected the passage of the Hilda I, the Amber, the Silvia 1, and the Happiness I, which were carrying a total of 7 million barrels of oil.
They all loaded their cargo in mid-April on Kharg Island, the country’s main oil terminal, through which 90 per cent of the Islamic republic’s crude oil normally transits.
The ships crossed the strait on Monday with their AIS (automatic identification system) transponders turned off. Kpler relies primarily on satellite imagery to track ships transporting raw materials.
