Iran Vows Response to U.S. Strikes as Oil Prices Surge

Tehran has accused Washington of undermining a fragile ceasefire after the United States launched what it characterized as "defensive strikes" targeting the southern region, with U.S. Secretary of State Marco Rubio suggesting that negotiations to resolve the conflict could extend "a few days" longer.

Iran's Foreign Ministry condemned the strikes on Hormozgan Province—where explosions were reported at dawn Tuesday—as a blatant breach of the truce that has held for approximately seven weeks. The two nations had been discussing a memorandum of understanding intended to halt hostilities and restore shipping through the contested Strait of Hormuz, with negotiators granted 60 days to address contentious issues including Iran's nuclear activities.

During talks conducted in Qatar, Iranian negotiators pushed for language requiring the unfreezing of billions in assets held abroad, according to reports from Iranian media outlets.

Market Reaction

The Pentagon described the strikes as targeting vessels attempting to deploy mines and missile installations. Speaking from his aircraft in Jaipur, India, Rubio stressed that maintaining open passage through the Strait of Hormuz remains essential "in any way."

The broader conflict, ignited by American and Israeli military operations on February 28, has severely disrupted global energy supplies and triggered sharp increases in petroleum, fertilizer, and food costs. Iran subsequently retaliated by dispatching drones and missiles toward Gulf nations hosting U.S. military facilities.

Shipping through the Strait of Hormuz—a critical waterway handling roughly one-fifth of worldwide oil and liquefied natural gas commerce—has contracted to minimal levels since the conflict began.

Brent crude surged approximately 3.5 percent on Tuesday following reports of the American strikes, climbing above $99 per barrel.

Tehran Signals Retaliation

U.S. Central Command disclosed that late Monday strikes were executed to "protect our forces from the threats posed by Iranian forces." The Iranian Revolutionary Guard responded Tuesday by asserting it maintains the authority to retaliate, claiming that its air defenses destroyed one American drone and engaged two additional aircraft—another drone and a fighter jet—said to have violated Iranian airspace over the Gulf region.