Iran launched a fresh missile salvo across the Middle East on Wednesday, even as US President Donald Trump signalled eagerness to negotiate with Tehran, calming global markets.
Following nearly four weeks of conflict, oil prices fell sharply while Asian stocks rose, as investors reacted to signs of potential de-escalation. Trump stated that Washington was “in negotiations right now” with Iran.
“They did something yesterday that was amazing actually. They gave us a present and the present arrived today. And it was a very big present worth a tremendous amount of money,” he told reporters in the Oval Office.
The US leader did not provide further details but indicated that the development concerned the Strait of Hormuz, which Iran had largely blockaded, sending global energy prices soaring.
While Iranian officials have yet to confirm any formal talks, the New York Times reported that Washington sent a 15-point peace plan to Iran via Pakistan, which is mediating. It remains unclear if Israel, which has been carrying out strikes on Iran and the Iran-backed Hezbollah in Lebanon, is aligned with the proposal.
Trump reiterated that Tehran had “agreed they will never have a nuclear weapon,” referring to constraints Iran initially accepted in a 2015 deal, which Trump had abandoned during his first term.
Despite hopes for diplomacy, The Wall Street Journal reported that the US plans to send an additional 3,000 troops to the Middle East.
Fresh Gulf Attacks
Iran’s Revolutionary Guards fired a new wave of missiles Wednesday targeting Israel and bases hosting US forces in Kuwait, Jordan, and Bahrain. Drones struck a fuel tank at Kuwait International Airport, causing limited damage, while Bahrain activated air raid sirens and shrapnel fell near Amman with no casualties reported. Saudi Arabia intercepted at least four drones in its eastern region.
Israel announced strikes on “infrastructure of the Iranian terror regime” in response to the missile launches. Iran also accused Israel of striking its Bushehr nuclear plant, a civilian facility.
In southern Lebanon, Israeli strikes killed six people in Sidon and a Palestinian refugee camp. Israel has intensified its campaign against the Iran-backed Hezbollah, aiming to control the area up to the Litani River near the border.
The conflict has drawn Iraq deeper into the war, with Baghdad summoning both the US charge d’affaires and Iranian ambassador after deadly strikes.
Safe Passage for Non-Hostile Vessels
Focus also remained on the Strait of Hormuz, a key oil route carrying a fifth of global crude. Iran assured the International Maritime Organisation that “non-hostile vessels” would have safe passage, while those of “aggressor parties — namely the United States and the Israeli regime” would be barred.
Trump had earlier threatened severe military action if the strait remained closed but extended the deadline after citing diplomatic progress.
The potential easing of hostilities caused benchmark crude prices to drop more than six percent. Rising fuel costs in the US have added political pressure on Trump. Meanwhile, French President Emmanuel Macron called on Iran to engage in good faith negotiations during a recent phone call with his Iranian counterpart Masoud Pezeshkian.
