This Might Be the Most Economically Destabilizing War in Decades
Even if this cease-fire holds, the war’s shocks may last for years.
Even if this cease-fire holds, the war’s shocks may last for years.
As the cease-fire deal held between the U. S. , Israel, and Iran took hold, residents of Tehran expressed mixed reactions.
The vice president sought to downplay Israel’s continued bombardment of Lebanon, which he insisted had “nothing to do with” Iran.
Pakistan’s prime minister posted a public plea on X for President Trump to extend his Tuesday evening deadline for Iran. The White House was directly involved in shaping the message.
Even if the Iran cease-fire holds and the war ends, many believe the world will be worse off.
The war in Iran, now in a two-week ceasefire, drove up the costs of fertilizer and fuel, pressuring farmers far from the Gulf. Our Vietnam bureau chief, Damien Cave, reports from the Mekong Delta on how the strain on the rice industry is signaling food supply problems and higher prices to come.
On the first day of the pause, Iran fired missiles and launched drones in the region. It said an oil refinery on Lavan Island had been attacked. Israel continued its strikes in Lebanon.
A day after a pause in fighting was announced between the United States and Iran, many questions remained, including the status of the Strait of Hormuz.
Even as a two-week ceasefire takes hold, mothers in multigenerational military families — some veterans themselves — are anxious about what the war in Iran could mean for their children, as they face the uncertainty of another conflict in the Middle East.
Analysts said oil and natural gas energy companies would not quickly restore production unless attacks stopped and ships started moving through the Strait of Hormuz.
President Trump knows that even if a cease-fire runs out with no final agreement on the issues dividing Washington and Tehran, the political risk of renewing hostilities is high.
Defense Secretary Pete Hegseth called on Iran to turn over its stockpile of highly enriched uranium, which could be used for a nuclear weapon, and said the U. S. could launch an operation to seize the material if Iran did not agree.
Israel continued its large-scale bombing of Hezbollah targets after saying that a two-week cease-fire with the United States and Iran did not extend to Lebanon.
Cécile Kohler and Jacques Paris spent years in a Tehran prison. An Iranian court convicted them of espionage, charges that France said were baseless.
The American defense secretary warned President Trump could still order a commando raid to seize 970 pounds of enriched uranium buried in Isfahan if Iran does not agree.
Pakistani officials have aggressively courted the Trump administration and made use of their longstanding ties to Iran.
President Trump has vowed to stop Tehran from obtaining nuclear weapons, but he has also hinted that the enriched material could stay in Iranian territory.
With a tenuous cease-fire in place, Iranians are left picking up the pieces of their lives. Some fear the government will crack down on its domestic critics.
A handful of vessels have crossed the crucial waterway since the U. S. -Iran truce began, but shipowners, insurers and others are wary of safe passage.
Analysts and traders are anxiously watching the Strait of Hormuz and whether peace talks can resolve big differences between the United States and Iran.