Trump urges ‘everyone’ to immediately evacuate Tehran

US President Donald Trump has encouraged the immediate evacuation of Tehran, as the conflict between Israel and Iran enters its fifth day.

“Everyone should immediately evacuate Tehran!” Trump posted on Truth Social on Monday, about an hour after Iran launched a fresh barrage of missiles at Israel.

He continued to say that “Iran should have signed the [nuclear] ‘deal’ I told them to sign”.

While Trump has called publicly for a diplomatic resolution to the conflict, he has also threatened military action if none emerges.

The war is “painful for both parties, but I’d say Iran is not winning this war”, Trump said at the G7 on Monday, adding “they should talk immediately, before it’s too late”.

After being asked if he wanted to see regime change in Iran, Trump replied: “I want to see no nuclear weapons in Iran. And we’re well on our way to making sure that happens.”

US deploys additional military assets to Middle East

The US has deployed additional military assets to the Middle East as Israel and Iran continue to trade missile and drone strikes in their escalating conflict.

Over the weekend, US defence secretary Pete Hegseth “directed the deployment of additional capabilities to the United States Central Command Area of Responsibility”, he wrote in a post on X on Monday. Centcom is responsible for military operations throughout the Middle East.

Those additional deployments “are intended to enhance our defensive posture in the region”, he said, with the protection of US forces being Washington’s top priority.

Israel says new wave of Iranian missiles heading towards Israel

The Israeli military said a new wave of Iranian missiles is heading towards Israel.

The Israel Defense Forces said in a post on X that its air defence system is working to intercept the threat. It had instructed residents throughout Israel to shelter in protected areas but has since lifted the order.

A spokesperson for the Islamic Revolutionary Guard Corps said a new wave of attacks will continue uninterrupted until Tuesday morning, according to Iranian state media.

Arab and Muslim nations call for a Middle East ‘free of nuclear weapons’

More than 20 Arab and Muslim nations have condemned Israel’s attacks on Iran and called for a “comprehensive ceasefire” and a restoration of calm across the region.

Twenty-one foreign ministers said it was important to refrain from targeting nuclear facilities that are under International Atomic Energy Agency safeguards. In their joint statement released on Monday night, they also called for the return of negotiations and establishing a “Middle East zone free of nuclear weapons and other weapons of mass destruction, which shall apply to all states in the region without exception”.

Israel is the Middle East’s only nuclear-armed state, although it does not admit to its programme.

Israel strikes Iranian state TV after issuing Tehran evacuation order

Israeli missiles have hit the Iranian state television headquarters in Tehran, after the Israel Defense Forces issued an evacuation order to civilians.

The strike temporarily interrupted a broadcast, with the host leaving mid-programme as the studio filled with smoke. The building was later shown on fire by the country’s official news agency.

Israeli defence minister Israel Katz said the broadcaster “was attacked by the IDF after a widespread evacuation of residents in the area”.

The IDF had earlier called on civilians to leave parts of Tehran’s District Three, in which the TV studio is located.

State television aired live images of its glass headquarters burning, with plumes of flames and smoke. A local TV reporter said that efforts were under way to extinguish the fire, adding “four bombs” had hit the facility. He said the death toll was not yet available.

Peyman Jebelli, head of Islamic Republic of Iran Broadcasting, said that “the hybrid warfare” launched by Israel “will in no way disrupt our resolve to achieve media victory”.

Prime Minister Benjamin Netanyahu said earlier that Israel had gained control of the skies over Tehran, which marked a “change in the entire campaign”.

He added that Israel was “on our way” to eliminating Iran’s nuclear programme and its ballistic missile capabilities.

As the conflict between the two regional powers intensified, Israeli rescue workers said eight people had been killed in an Iranian missile barrage on the country’s cities, bringing the Israeli death toll since Friday to 23.

Iranian authorities said late on Sunday that 224 civilians had been killed by Israeli strikes, along with 17 high-ranking military officials.

The latest assaults came as international leaders met in Canada for a G7 summit and said diplomatic efforts to resolve the crisis would be a priority.

US President Donald Trump said at the G7 summit: “I think a deal will be signed, or something will happen, but a deal will be signed.”

Trump says Iran would be ‘foolish’ to not sign nuclear deal

Donald Trump said he believed Iran was ready to negotiate and would be foolish not to reach an agreement on its nuclear programme.

“I think a deal will be signed, or something will happen, but a deal will be signed,” the US president said at the G7 meeting in Kananaskis, Canada. “And I think Iran is foolish not to sign one.”

Trump added: “I think Iran basically is at the negotiating table. They want to make a deal. And as soon as I leave [the G7 meeting], we’re going to be doing something.”

Israel’s Bazan Group shuts down Haifa oil refinery after Iranian strike

Israel’s Bazan Group on Monday night said it had shut down all facilities at its oil refinery in the port city of Haifa, after the site was hit by an Iranian missile strike on Sunday.

In a regulatory filing, the Bazan Group said the strike had “significantly damaged” the power plant in the port that produced the electricity needed to run its facilities, and it had therefore shut down all activities at its refinery and subsidiary facilities.

Three of its employees had been killed in the strike, it added, which was the second time in two days that Iran had targeted the port in Haifa.

The group, which is one of the largest energy companies in Israel, said it was working to assess the damage and restore the electricity supply to the refinery.

Brent crude closes lower despite continuation of Israel-Iran conflict

Oil prices retreated, even as the conflict between Israel and Iran continued into a fourth day.

The price of Brent crude, the international benchmark, closed at $73.23 a barrel on Monday, $1 — or 1.3 per cent — below where it finished on Friday when the latest conflict in the Middle East broke out.

Friday’s 7 per cent jump sent oil to its highest closing level since early April, but during intraday trading, Brent hit its highest level since late January.

More than 1,800 people in Iran injured since start of conflict

More than 1,800 people in Iran have been injured since Israel launched its attack on June 13, according to the country’s health minister.

Mohammad-Reza Zafarghandi said in an update that an Israeli strike on Sunday on Quds Square in northern Tehran injured 59 civilians and killed 12 people, including a pregnant woman. That attack also ruptured a main water pipeline.

Iran’s armed forces issue orders for residents in ‘occupied territories’ to evacuate

Iran’s state TV said the country’s armed forces had issued evacuation orders for residents in the “occupied territories”.

“If you want to survive, you must evacuate,” a statement by the armed forces said, adding it would launch an offensive against Israeli military infrastructure in the coming hours.

The state television also said Iran had issued evacuation orders for the central offices of Israel’s N12 and N14 networks in response to the Israeli strike on the state broadcaster’s building in Tehran earlier on Monday.

US House Speaker postpones Israel trip

US House Speaker Mike Johnson has postponed his trip to Israel because of the country’s conflict with Iran.

The top Republican in the lower chamber of Congress, a staunch supporter of President Donald Trump, was due to address a special session of the Israeli Knesset, or parliament, on Sunday.

“Due to the complex situation currently unfolding in Iran and Israel, Speaker [Amir] Ohana and I have made the decision to postpone the special session of the Knesset,” Johnson said on Monday. 

He added he intended to reschedule the remarks “in the near future”.

Netanyahu increases threats against Iranian leadership

Israeli Prime Minister Benjamin Netanyahu has intensified his threats against the Iranian leadership, saying that killing supreme leader Ayatollah Ali Khamenei would not escalate the conflict between the two countries, but end it.

Asked in an interview with ABC News on Monday whether Israel would target Khamenei, Netanyahu said Israel was “doing what we need to do”.

“I’m not going to get into the details, but we’ve targeted their top nuclear scientists,” he said. “It’s basically Hitler’s nuclear team.”

A US official on Sunday confirmed to the FT a Reuters report that President Donald Trump had vetoed an Israeli plan to kill Khamenei. Netanyahu had declined to comment on that report.

Wall Street on course to maintain recent pattern of recovery after onset of conflict

US stocks remained higher, keeping them close to recouping their decline following the outbreak of conflict between Israel and Iran.

The S&P 500 was up 1.1 per cent during lunchtime trading on Monday and about five index points away from Thursday’s closing level.

US stocks have a habit of selling off and quickly rebounding following outbreaks of violence between Israel and Iran, according to JonesTrading strategist Mike O’Rourke.

Conflicts between Israel and Iran in April and October of last year each “resulted in minor S&P 500 sell-offs that were subsequently eclipsed in short order”, he said.

“It is noteworthy that Treasury bonds failed to garner a haven bid, once again reinforcing their underlying weakness,” O’Rourke said.

Iran’s foreign minister warns US of being dragged into ‘mother of endless battles’

Iran’s foreign minister said if the US president truly believed in diplomacy and wanted to stop the Israel-Iran war, “the next steps are crucial”.

“Israel must fully halt its military aggression against us. Otherwise, our response will continue,” Abbas Araghchi wrote on his Telegram channel. “It takes a single phone call from Washington to silence someone like [Benjamin] Netanyahu. This can pave the way back to diplomacy.”

The minister added that the US being dragged into “the mother of all endless battles” would eliminate any possibility for a negotiated settlement and would have unimaginable consequences for regional security and the global economy.

“All evidence suggests that Netanyahu’s criminal attack on Iran, which resulted in the deaths of hundreds of civilians, was meant to impede an agreement between Iran and the US,” Araghchi said.

Israeli shekel on track for biggest daily jump since 1998

The Israeli shekel was on track for its biggest daily jump since 1998, as market fears about the spread of the conflict between Israel and Iran waned. 

The shekel was trading about 3.7 per cent stronger around midday in New York on Monday, with one US dollar buying 3.5 shekels. A rate earlier in the session of 3.463 to the dollar was the strongest level since February 2023.

The recovery was notable after the Israeli currency weakened last week on the news of Israel’s attack on Iran.

Oil prices were higher, US stocks rose slightly and safer assets, including the dollar, Treasury bonds and gold, were weaker as investors moved back into riskier assets.

Line chart of Israeli shekels per US dollar showing Israel's currency rebounds

Energy and defence stocks follow price of oil lower

Shares of US energy and defence companies were in the red as the price of oil fell.

Defence companies Lockheed Martin and Northrop Grumman were down more than 3 per cent on Wall Street around midday on Monday.

Diamondback Energy dropped 3.6 per cent, and Occidental Petroleum fell 3.3 per cent.

Monday’s moves marked a reversal of action late last week, when shares in those sectors rallied as the Israel-Iran conflict kicked off.

Leisure and travel stocks, having tumbled on Friday, gained on Monday. MGM Resorts was 6.5 per cent higher, and Wynn Resorts rose 5.1 per cent. 

Airline stocks rose, buoyed by the falling oil price. United Airlines jumped 5 per cent, while Delta gained 4.2 per cent.

Fire erupts at Iran’s state TV building in Tehran

Iranian state television, known as the Islamic Republic of Iran Broadcasting, aired live images of its glass building burning as huge plumes of fire and smoke rose to the sky.

The fire erupted after the building was hit by Israeli missiles, temporarily disrupting its broadcast.

An IRIB reporter explained that efforts were under way to extinguish the fire, adding “four bombs” had hit the facility. He said the death toll was not yet available.

Peyman Jebelli, the IRIB chief, said in a statement that “the hybrid warfare” launched by Israel “will in no way disrupt our resolve to achieve media victory” over the enemy.

Israel orders evacuation in Tehran district that houses state TV facility

Trump says Iran ‘not winning’ war and should return to negotiating table

Donald Trump said Iran was “not winning” the war with Israel as he urged Tehran to return to the negotiating table “immediately”.

Trump made the comments ahead of a bilateral meeting with Canadian Prime Minister Mark Carney at the G7 summit in Alberta on Monday.

“It’s painful for both parties, but I’d say Iran is not winning this war, and they should talk,” Trump said. “And they should talk immediately, before it’s too late.”

When asked about American intelligence support for Israel, Trump said the US “had always supported Israel” and that “Israel is doing very well right now”.

Read more here

New report shows Israel’s dominance of Iranian airspace in multiple areas

Israel’s dominance of Iranian airspace is now so complete in many areas that it can safely operate slow, non-stealthy Heron drones to hunt for missile launchers and other military targets, according to a new report on Operation Rising Lion by the Royal United Services Institute in London.

The Israeli military earlier on Monday said it had achieved “full aerial operational control above Tehran” after days of air strikes on Iran’s air defence systems.

While in the early days of the conflict Israel controlled airspace within 200km of the Iraqi border, this now extends halfway across Iran in some regions, allowing the use of many more types of aircraft, including surveillance and attack drones that would otherwise be vulnerable.

US warns citizens against travel to Israel

The US state department has warned US citizens not to travel to Israel, raising its travel advisory to the highest level as the conflict between Israel and Iran continues to escalate.

There is now a Level 4 “Do Not Travel” advisory, which the state department issued after allowing non-essential personnel and family members to leave the region on Saturday. The Pentagon gave similar authorisation last week ahead of Israel’s pre-emptive strike.

“The security situation in Israel, including Tel Aviv and Jerusalem is unpredictable,” the state department said, warning that missile and drone strikes could hit at any point.

The US embassy in Jerusalem was closed on Monday, and on Sunday it directed all employees and family members to shelter in place near their homes, warning that it is not able to evacuate or help Americans leave Israel.

Israeli strikes hit Iranian state TV facility

Israeli missiles have hit the Iranian state television facility in Tehran, temporarily interrupting the broadcast.

The host had to leave mid-programme as the studio filled with smoke. The live programme has since resumed.

Video description

Iran's state TV is hit by Israeli air strikes

Iran's state TV is hit by Israeli air strikes © Iran state TV

Slight decline in ships passing through Strait of Hormuz

The number of cargo ship movements through the Strait of Hormuz has shown a “slight decrease” over the past week amid the conflict between Israel and Iran, the UK’s Maritime Trade Operations for the region has said.

However, the office stressed there was no information pointing towards a blockade or closure of the strait, which links the Gulf to the Arabian Sea. A third of the world’s supplies of seaborne crude oil pass through the strait.

There were 111 transits of the strait on Sunday by cargo-carrying vessels larger than 1,000 gross tonnes, according to UKMTO. That compares with 147 transits on Monday June 9.

The figures include all cargo ship types, as well as the crude oil tankers that make the strait especially important for the world economy.

Fordow nuclear plant appears undamaged, says IAEA

The UN’s nuclear watchdog said on Monday that Iran’s Fordow nuclear plant appeared to be undamaged, despite Tehran saying Israel had attacked the uranium enrichment facility.

“No damage has been seen at the site of the Fordow fuel enrichment plant,” said Rafael Grossi, director-general of the International Atomic Energy Agency.

The semi-official Iranian news agency ISNA reported on Saturday that Iran said Israel had attacked Fordow, one of the country’s two main nuclear facilities, which is heavily fortified and built deep beneath a mountain near the ancient city of Qom.

Grossi also said there had been no additional damage to Natanz, Iran’s other main nuclear plant, since Israel bombed it on Friday.

He said the level of radioactivity outside Natanz, in central Iran, had remained unchanged at normal levels.

Israel’s air strikes on Friday destroyed the above-ground part of Natanz’s pilot fuel enrichment plant, one site where Iran was enriching uranium close to weapons-grade levels, Grossi said.

But he said there was no indication of “a physical attack” on the underground hall containing the main fuel enrichment plant.

Bushehr nuclear power plant had not been targeted or affected by Israel’s attacks, Grossi said, nor had the Tehran Research Reactor.

The IAEA has inspectors in the republic but they have been unable to visit nuclear facilities since Israel began its bombing campaign.

IAEA director-general Rafael Grossi provides an update on the situation at Iran's nuclear facilities

There has been no additional damage at the Natanz fuel enrichment plants site since the Friday attack which destroyed the above ground part of the pilot fuel enrichment plant. One of the plants at which Iran was producing uranium and reached up to 60%, U-235. Electricity infrastructure at the facility, which included an electrical substation, a main electric power supply building, an emergency power supply, and backup generators was also destroyed. There has been no indication of a physical attack on the underground cascade hole containing part of the pilot fuel enrichment plant and the main fuel enrichment plant. However, the loss of power to the cascade hall may have damaged the centrifuges located there. No damage has been seen at the site of the Fordow fuel enrichment plant or at the Khondab heavy water reactor, which is under construction. Bushehr nuclear power plant has not been targeted, has not been targeted or affected by the recent attacks and neither has the Tehran research reactor. At the Isfahan nuclear site, 4 buildings were damaged.
IAEA director-general Rafael Grossi provides an update on the situation at Iran's nuclear facilities © Reuters

Gulf states warn against outbreak of wider conflict in region

Gulf states have called on “all countries and parties to exercise restraint and refrain from any military actions” to avoid wider conflict in the region after Israel’s attack on Iran.

Jasem Albudaiwi, secretary-general of the Gulf Cooperation Council, said the attack had “exacerbated tensions in the region and opened the door to vague and worrying scenarios”, as the bloc’s foreign ministers held an extraordinary meeting to discuss the crisis via teleconference on Monday.

Surge in interference in navigation systems around Strait of Hormuz

The accuracy of satellite navigation systems in and around the Strait of Hormuz has fallen sharply since Israel’s attacks on Iran on June 13, according to GPS Jam, a mapping project that visualises open-source aircraft navigation data.

A reduction in accuracy of global navigation satellite systems (GNSS) indicates increasing interference.

GPS Jam said interference had been inexistent or low (less than 2 per cent) in the Gulf and Strait of Hormuz before Israel’s attacks on June 13. Since then, it had increased to medium (2-10 per cent) in much of the region, with patches of high interference (more than 10 per cent).

Armed forces have used tactics such as GPS jamming or spoofing over the past two decades, to defend sensitive targets or to mask their own activities.

Investors move back into risky assets

US stocks rose in morning trading as investors bought back into risky assets following last Friday’s sell-off sparked by the outbreak of conflict between Israel and Iran.

Wall Street’s blue-chip S&P 500 rose 0.7 per cent shortly after the opening bell, boosted by financials and utilities stocks. The tech-heavy Nasdaq Composite gained 0.9 per cent.

Brent crude, the international oil benchmark, was down 1 per cent at $73.50 a barrel. 

Iran cracks down on ‘traitors to the country’

Iran has strengthened its crackdown on all forms of collaboration with Israel including any displays of support on social media.

Police chief Ahmad Reza Radan said law enforcement agents were conducting back-to-back operations to “hit traitors to the country”.

“Thanks to public tip-offs, we discovered 200kg of explosives and a number of drones and micro UAVs and arrested all the facilitators and collaborators,” he said.

Iran’s cyber police, FATA, said legal action was being taken against 60 individuals in Isfahan “disturbing public opinion by spreading rumours and posting pro-Zionist content on social media”.

On Monday, Iran executed Esmaeil Fekri, a man arrested in 2023 on charges of spying for Israel’s Mossad intelligence service.

Netanyahu says aerial control over Tehran marks ‘change in entire campaign’

Benjamin Netanyahu has said that gaining control of the skies over Tehran marked a “change in the entire campaign”, and that Israel was “on our way” to eliminating Iran’s nuclear programme and its ballistic missile capabilities.

The Israeli military said earlier on Monday that it had achieved “full aerial operational control above Tehran” after days of air strikes on Iran’s air defence systems.

“We are on our way to achieving our two goals: eliminating the nuclear threat and eliminating the missile threat . . . We are on the path to achieving victory,” the Israeli prime minister said in a statement.

Israel’s defence minister Israel Katz warned that residents in parts of Tehran would be forced to evacuate their homes, as Israel planned to attack regime and security targets in the city.

As the conflict between the two regional powers intensified, Israeli rescue workers said eight people had been killed in an Iranian missile barrage on the country’s cities, bringing the Israeli death toll since Friday to 23.

Iranian authorities said late on Sunday that 224 civilians had been killed by Israeli strikes, along with 17 high-ranking military officials.

Speaking to parliament on Monday, Iran’s reformist President Masoud Pezeshkian called for national unity, while reaffirming the country’s commitment to its nuclear energy programme.

The latest assaults came as international leaders arrived in Canada for a G7 summit and said diplomatic efforts to resolve the crisis would be a priority.

Putin and Erdoğan call for immediate ceasefire

Vladimir Putin and Recep Tayyip Erdoğan have condemned Israel’s strikes on Iran, which the Russian and Turkish presidents said “carried the risks of grave long-term consequences for the whole region”.

Putin and Erdoğan agreed to back an immediate ceasefire and “intense efforts” supporting diplomatic talks on “contentious issues” such as the future of Iran’s nuclear programme, the Kremlin said in a readout of their call on Monday.

Iran says 45 women and children have been killed

Iran has said that 45 women and children have been killed since the start of Israeli strikes and another 75 injured.

“This proves the falsehood of the Zionist regime’s claims that it only hits military targets,” Fatemeh Mohajerani, a government spokesperson, said on Monday.

On Sunday night, the health ministry put the casualty count since Friday’s assault at nearly 1,500, including 224 deaths.

Global markets calm as investors bet on limited economic impact

Global markets were muted on Monday, with stocks marginally higher and bond yields flat. Oil prices fell slightly.

Big bond investors said their expectations were that the economic impact of the conflict would be kept in check, barring a significant escalation.

RBC BlueBay Asset Management’s Mark Dowding said:

Our base case sees this conflict remaining contained and the oil price along with it.

There was a 10 per cent risk, he estimated, of a much larger escalation that would send oil to $150 a barrel, add “materially” to inflation and knock growth.

Neuburger Berman’s Robert Dishner said there would need to be a sustained move higher in crude prices to impact inflation.

Line chart of Brent crude ($ per barrel)  showing Oil prices fell on Monday despite the escalating conflict

Israel believes it has hit a third of Iran’s ballistic missile launchers

The Israel Defense Forces said that its overnight strikes had focused on central Iran, where most of the country’s remaining ballistic missile launchers remained.

Effie Defrin, the IDF’s chief spokesperson, said that Israel’s military believed that it had so far taken out a third of Iran’s ballistic missile launchers.

A military official said that more than 20 missiles had also been hit by the Israeli military shortly before they were due to be fired, and that this had helped cut the number launched in one of the Iranian barrages last night by half.

Drone footage shows damage from Iranian strike

Video description

Drone footage showing damage in the Israeli city of Bnei Brak, east of Tel Aviv, which was hit in an Iranian missile attack

Drone footage showing damage in the Israeli city of Bnei Brak, east of Tel Aviv, which was hit in an Iranian missile attack © Reuters

Israel claims ‘full aerial control’ above Tehran

Israel’s air force has gained full control of the skies above Tehran, the Israel Defense Forces said, as jets continued to bomb Iran on the fourth day of the conflict.

“We have achieved full aerial operational control above Tehran,” said Effie Defrin, the IDF’s chief spokesperson.

Israel’s defence minister Israel Katz warned that residents in parts of Tehran would be forced to evacuate their homes, as Israel attacks regime and security targets.

As the conflict between the two regional powers intensified, Israeli rescue workers said eight people had been killed in an Iranian missile barrage on the country’s cities, bringing the Israeli death toll since Friday to 23.

Iranian authorities said late on Sunday that 224 civilians had been killed by Israeli strikes, along with 17 high-ranking military officials.

The Israeli military earlier said it had completed on Sunday a “widescale wave” of attacks on infrastructure belonging to Iran’s Revolutionary Guards, its specialised Quds force and the Iranian army in Tehran.

Speaking to parliament on Monday, Iran’s reformist President Masoud Pezeshkian called for national unity, while reaffirming the country’s commitment to its nuclear energy programme.

The latest assaults came as international leaders arrived in Canada for a G7 summit and said diplomatic efforts to resolve the crisis would be a priority.

Hospital damaged in Israeli strike, Tasnim reports

An Israeli missile strike landed near a hospital in Kermanshah, a city in western Iran, on Sunday, causing damage to the facility and injuring a number of patients, the Tasnim news agency reported.

The attack on an industrial area destroyed medical equipment and supplies at the nearby Farabi hospital, the news agency, which is close to Iran’s Revolutionary Guards, said on Monday. Footage showed shattered glass and bloodstained beds at the hospital’s intensive care ward.

On Monday morning, a truck dealership in Kermanshah was targeted, leaving one person injured, while an air strike on a racehorse training centre in the city left 50 horses dead on Sunday, local media reported.

IAF posts footage of attack on Iranian missile troops

Video description

The IAF identified and eliminate surface-to-air missile launch troops seconds before they reached a launcher south of Tehran

Footage posted on social media by the Israeli Air Force, which it said showed the elimination of Iranian surface-to-air missile launch troops seconds before they reached a launcher south of Tehran © Israeli Air Force/X

Ships’ tracking systems hit by ‘electronic interference’, says UK monitoring service

High levels of “electronic interference” are affecting ships’ ability to report their positions in the Gulf and the Strait of Hormuz, the UK’s Maritime Trade Operations said on Monday.

“There is increasing electronic interference” across the crucial shipping route, the Royal Navy monitoring office said, which is “having a significant impact” on automated systems that report vessels’ positions.

Some oil tanker operators have said they are refusing to sail through the Strait of Hormuz amid the growing conflict between Israel and Iran.

About a third of all seaborne oil passes through the narrow Strait of Hormuz, which separates Iran from the Gulf states. Oil traders worry that Iran could cut off the crucial chokepoint.

France shuts down Israeli arms displays at Paris Air Show

Video description

France shuts down four Israeli arms displays at Paris Air Show

France shuts down four Israeli arms displays at Paris Air Show © Reuters

French authorities have shut down the stands of several Israeli arms companies at the Paris Air show, Israel’s defence ministry said on Monday, accusing France of hiding behind “political considerations” to block displays of weapons that competed with French products.

© Elbit Systems

The ministry said organisers put black walls around the Israeli stands after Israeli exhibitors refused to remove offensive weapons systems from their displays.

“This outrageous and unprecedented decision reeks of policy-driven and commercial considerations. This comes at a time when Israel is fighting a necessary and just war to eliminate the nuclear and ballistic threat facing the Middle East, Europe, and the entire world,” the defence ministry said in a statement, adding that the weapons in question “compete with French industries”.

Boaz Levy, chief executive of Israel Aerospace Industries, said: “As the son of a Holocaust survivor, I am very disturbed that not even 100 years after the Holocaust, our people are being discriminated against due to their religion.”

Kuwait tells public that missiles overhead ‘pose no threat’

Kuwait is seeking to reassure its public that the confrontation between Israel and Iran poses no direct risk to the country, as residents circulated videos of missiles flying over the small Gulf state since Friday.

Ballistic missiles seen in the sky were “travelling in higher altitudes and were beyond Kuwaiti airspace, posing no immediate threat”, the Kuwaiti Army General Staff said through a statement carried by the country’s state news agency KUNA on Monday.

Iran calls on UN to condemn Israel’s attacks

Iran’s foreign ministry has called on the UN Security Council to condemn Israel’s attacks on the country.

“If the UN Charter is legally binding on all member states, then all members including the five permanent members of the Security Council are required to unequivocally condemn the Israeli aggression . . . through a transparent resolution,” said ministry spokesperson Esmaeil Baghaei.

He said the US, as a permanent Security Council member, had an obligation to adhere to the UN Charter’s principles. Failure to condemn Israel’s strikes would be “unacceptable” given Washington’s “special ties to the aggressor.”

Gulf stocks shrug off geopolitical risk

Gulf stock markets shrugged off geopolitical risk to tick upwards on Monday, with shares on Riyadh’s Tadawul — the region’s biggest exchange — gaining around 1 per cent.

Abu Dhabi and Dubai advanced by less than 1 per cent, while Doha was up about 1.5 per cent and Kuwait’s main market rose more than 2 per cent.

Regional bourses that were open fell into the red on Friday and Sunday, due to different weekends.

Initially, “we expected a knee-jerk reaction,” said Anita Gupta, chief investment officer at Wealthbrix Capital Partners in Dubai. But “these countries are not involved in the conflict”, and investors have focused on higher oil prices and the lack of any impact so far on trade and tourism.

Oil markets stable despite escalating conflict

Oil prices dipped after a shortlived jump in Asian trading, with no impact yet from the conflict on exports of oil and gas from the Middle East through the Strait of Hormuz.

“See it from above and very analytically,” said Jorge Montepeque of Onyx Capital. “Supply from the Gulf remains the same it was, and will be”.

Benchmark Brent crude was trading at $74 a barrel on Monday morning, 0.3 per cent below Friday’s close, despite a weekend of missile fire. The price is 7 per cent higher than before Israel’s first strikes on Iran.

Still, Energy Aspects, a research firm, said that since there is as yet no sign of a diplomatic solution, “the likelihood of a real supply impact is non-negligible”.

The share prices of Europe’s oil majors rose. Shell was up 1.2 per cent and BP rose 1.1 per cent.

Line chart of Brent crude ($ per barrel)  showing

European stocks open higher

European stocks nudged higher in early trading, as investors tentatively moved back towards riskier assets.

The broad Stoxx Europe 600 index opened 0.1 per cent higher on Monday morning, and Germany’s Dax index rose 0.3 per cent. The FTSE 100 rose 0.2 per cent.

Deutsche Bank analysts said that Israel and Iran have “so far avoided the most extreme escalatory steps”.

Futures tracking the S&P 500 rose 0.4 per cent on Monday morning.

Israel and Iran trade attacks for a fourth day

Israel and Iran traded attacks for a fourth day on Monday, defying international calls for de-escalation, as the conflict between the two regional powers intensified.

Israeli rescue workers said eight people had been killed in an Iranian missile barrage on the country’s cities, bringing the Israeli death toll since Friday to 23.

Iranian authorities said late on Sunday that 224 civilians had been killed in Israeli strikes.

The rocket attacks followed Israeli air strikes on sites in central Iran, extending the conflict that started when Israel struck Iranian nuclear facilities, military sites and residential areas on Friday.

The Israeli military said that on Sunday it had completed a “widescale wave” of attacks on infrastructure belonging to Iran’s Revolutionary Guard, its specialised Quds force and the Iranian army in Tehran.

Speaking to parliament on Monday, Iran’s reformist President Masoud Pezeshkian called for national unity, while reaffirming the country’s commitment to its nuclear energy programme.

The latest assault came as international leaders arrived in Canada for a G7 summit and said diplomatic efforts to resolve the crisis would be a priority.

Oil prices were stable despite a weekend of missile attacks. The region accounts for a third of the world’s production, but analysts said there had been no impact yet on exports of oil and gas from the Middle East through the Strait of Hormuz.

US embassy branch in Tel Aviv hit by debris

A US embassy branch in Tel Aviv was struck by debris following an Iranian missile attack, the country’s ambassador to Israel said.

Mike Huckabee said in a social media post that the building had suffered “some minor damage” but there had been no injuries to US personnel.

Iranian president asserts nuclear energy right in call for unity

Iranian President Masoud Pezeshkian speaks during a meeting in the city of Ilam last week © WANA via Reuters

Iran’s reformist President Masoud Pezeshkian has called for national unity and the need to put aside internal differences, while reaffirming the Islamic republic’s commitment to its nuclear energy programme. 

“Today, more than ever, we need unity and solidarity,” he said in parliament on Monday as he received a vote of confidence in his new economy minister. “Any differences and problems that existed should now be set aside.”

He asserted that no country could deprive Iran of its “right” to nuclear energy.

Pezeshkian added that Iran “has extended a hand of brotherhood” to other Islamic nations, “most of whom stand with us now”.

Iran executes alleged Mossad spy

Iran has executed a citizen accused of spying for Israel’s Mossad intelligence agency, official media reported on Monday.

Esmaeil Fekri, who was arrested in November 2023, allegedly met two Mossad agents and provided “confidential and sensitive information”, according to the Mizan news agency affiliated with Iran’s judiciary.

The report did not specify Fekri’s position or how he had access to such information.

Iranian official blames some attacks on ‘domestic infiltrators’

Some attacks on Iran were the result of “domestic infiltrators” rather than direct Israeli military actions, according to the Islamic republic’s parliamentary speaker.

The comments by Mohammad Bagher Ghalibaf follow the arrests of two alleged Israeli agents and the seizure of explosives and drone components.

“A significant number of the enemy’s blows . . . are carried out with the help of domestic infiltrators,” he said during a parliamentary session on Monday.

Iranian police have made raids on clandestine locations believed to have been used to co-ordinate such attacks. Ghalibaf urged the public to report suspicious activity.

Iran missile barrage kills 5 and injures more than 100

Damage to a residential building in central Israel after an Iranian missile attack on Monday © REUTERS

Five people were killed in Israel on Monday after Iran launched a fresh missile barrage.

At least 100 people were injured after strikes hit five locations across the country’s centre and north.

The heaviest hit area was the city of Petach Tikva, where four of the deaths took place after a missile struck a residential building, according to local health officials.

Magen David Adom, Israel’s main emergency service, said three of the victims were in their 70s.

Another person was killed in the central city of Bnei Brak, while strikes were also reported in Tel Aviv and the northern city of Haifa. 

The latest barrage followed Israeli attacks on missile sites in central Iran. Iranian state media claimed its retaliatory strikes had hit a power plant in Haifa.

Additional reporting by Najmeh Bozorgmehr in Tehran

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