US launches ninth night of Iran strikes as oil jumps 3% but remains below $80; Iran vows to block 'single drop' of oil through Hormuz and vessel reported on fire in strait

Oil climbed to $85 a barrel and European shares fell after fresh US-Iran attacks and an Iranian shipping blockade.

Oil prices have surged amid a rapidly escalating US-Iran military confrontation — now in its ninth night of renewed bombing following a collapsed ceasefire and stretching into its fifth month overall — rattling global energy markets and threatening to tip into all-out war. Brent crude has jumped approximately 3%, though it remains below $80 a barrel according to latest market data, with UK pump prices rising in response. Iran has vowed that 'not a single drop' of oil or gas will pass the Strait of Hormuz, and a maritime agency has reported a vessel on fire in the strait. The State Department has issued a worldwide travel warning for Americans as the fighting intensifies with no end in sight, and analysts warn Iran has crossed what they describe as Trump's red line for resuming all-out war. The conflict's current phase began on June 25 with an Iranian drone attack on a cargo ship in the Strait of Hormuz, just one week after a ceasefire had been hailed, with both sides now crossing each other's red lines in a battle increasingly focused on control of the strategic waterway. A third US service member was killed in northern Iraq during a controlled detonation of a downed Iranian drone, the US military announced. Trump said the ninth night of strikes was launched 'in honour' of the dead. This follows the deaths of two US troops in Jordan — the first American troop deaths attributed to direct Iranian fire since the opening days of the war — and one set of unidentified remains found at the Jordan base, with one service member still reported missing. In total, at least three and possibly four American troops have been killed within recent days. Since the conflict began, 16 US service members have now been killed and over 430 wounded. US Central Command confirmed new strikes on Iran were launched in direct response to the Jordan deaths, targeting the IRGC, and says it is 'holding Iran accountable.' In a significant internal development, an unnamed US official familiar with administration discussions told the Washington Post that Washington is planning for a wider war, with the Pentagon increasing the number of military aircraft in the region in preparation for an extended and potentially broader campaign. However, the same official cautioned that any expansion will be constrained by shrinking stockpiles of air defense and long-range munitions, battle damage limiting the ability to surge additional troops and aircraft, and that current resources are not enough to safely sustain operations — adding that the White House may not be fully aware of the shortfall. Military expert Seth Jones of the Center for Strategic and International Studies warned that it would be a mistake to place ground forces on islands in or along the shores of the Strait of Hormuz and that US forces are not prepared for standoff strikes from Iran. Trump has declined to rule out ground operations inside Iran. The United States has launched nine nights of strikes on Iran, with new blasts reported in the Iranian port cities of Bandar Abbas and Bandar Lengeh. Previous strikes hit targets in the port cities of Bushehr and Bandar Abbas, attacked an oil tanker in the Strait of Hormuz using Hellfire missiles, struck near Qeshm Island, and hit bridges, energy facilities, railroads, and a key port — including collapsing a tower at a key Iranian port. An Iranian airport was also struck. US Central Command says attacks are designed to 'continue degrading Iranian military capabilities.' The Institute for the Study of War confirmed strikes on several bridges and railroads in southern Iran. Overnight strikes reportedly killed 8 people, and a US missile strike near a children's cancer hospital in Ahvaz forced its evacuation, drawing accusations of a 'barbaric' attack from Iranian officials. Iran's supreme leader dismissed Trump's signature as 'worthless and invalid.' Iran has retaliated by firing ballistic missiles and drones at Kuwait, wounding several Kuwaiti soldiers, and new loud explosions have been reported in Kuwait as air defense systems were activated to confront fresh incoming hostile missiles. Explosions were also reported in Bahrain. Iran has told Hezbollah and its regional allies to prepare for a wider conflict, and the IRGC claims to have targeted US aircraft and radar systems in Jordan and Qatar and destroyed US fighter jets stationed in Jordan. The IRGC also says it stopped two tankers in the Strait of Hormuz. Kuwait reported that a water plant was hit. Shipping traffic through the Strait of Hormuz has fallen sharply amid the hostilities, with maritime risk experts describing conditions there as a 'worst case scenario' for oil tankers, and a vessel has now been reported on fire in the strait. Pakistan and Kuwait have formally raised diplomatic concern over the renewed fighting in West Asia. The US is also sending dozens of refueling aircraft to Israel ahead of a potential attack on Iran, signaling possible further escalation. Despite the sustained US campaign, a leaked US intelligence report concluded that Iran retained approximately 70% of its missiles and launchers after a 38-day spring campaign, highlighting Tehran's continued capacity to inflict serious damage. Retired Admiral James Stavridis warned that 'Iranians are adaptive ... They're working to make us determine that this candle is not worth the game, that we would, in fact, ultimately walk away,' and assessed that Trump 'has three options, and none of them are good.' Iran has told civilians to cut electricity use following US attacks on power infrastructure, and has retaliated by striking US allies in the Middle East, including sites in Bahrain (including the US Fifth Fleet), Kuwait, and Jordan, broadening the regional scope of the conflict. Tehran has threatened to halt all Middle East energy exports and has shut the Strait of Hormuz, raising fears of severe disruption to global oil supply. Analysts are warning that the Bab el-Mandeb Strait could become a secondary chokepoint under threat, and Iran has warned of the potential destruction of Gulf state energy production. Trump described the Jordan deaths as 'a very sad thing' and told NewsNation he 'could not care less' about Iran's decision to abandon the bilateral memorandum of understanding reached a month ago. A Trump administration official has acknowledged that the US mission has pivoted toward ensuring the free flow of oil through the Strait of Hormuz, a framing that has drawn mounting criticism over the war's length and prompted at least one Democrat to label it a 'war of choice.' In a potentially significant development, Iraq and Syria are moving to restore an oil pipeline that would provide an alternative route to the Strait of Hormuz. Iraqi Prime Minister Ali al-Zaidi met with President Trump at the White House this week. One seafarer was killed and three were injured in an attack on the crude oil tanker Al Bahyah off Oman's coast. President Trump threatened to target Iranian civilian infrastructure — including power plants and bridges, actions legal experts say would likely constitute war crimes — but withdrew his proposed toll on vessels transiting the Strait of Hormuz, while confirming the naval blockade of Iranian ports will continue. Less than a month after hailing a ceasefire, Trump resumed strikes on Iran, a move experts warn could prolong the war and hurt Republicans ahead of midterms. Diplomatic observers note that five months of US policy U-turns have left Washington in a worse position than when the confrontation began, with analysts at The New York Times, The Economist, Fortune, and CNN now warning Trump is edging toward another American 'forever war.' Some US commentators and analysts are calling for the US to abandon incremental warfare in favor of overwhelming, sustained pressure on the IRGC. Market reactions have been mixed: Asian shares have tumbled, with South Korea's Kospi down nearly 10%, while European shares are pushing cautiously higher. UK pump prices are rising alongside the oil price jump. Diesel has topped $5 a gallon and regular gas is approaching $4 in the US. Stocks snapped a two-week winning streak, with AI-related chip stocks entering bear market territory amid the broader uncertainty. On a diplomatic note, Iran released dual US-Iranian citizen Dena Karari, detained since 2024; Trump confirmed she was 'now safely outside of Iran, and in good condition.' Ryanair has predicted lower fares this summer, potentially reflecting demand uncertainty.

Why it matters

Rising oil prices feed directly into energy costs for households and businesses worldwide, and sustained Middle East tensions could further disrupt global supply chains and fuel inflation.

What's next

Markets will be watching for further escalation in US-Iran tensions and any impact on shipping through key Middle Eastern oil transit routes.

Key facts

Bias & framing notes

Both sources are Guardian rolling news blogs, so there is no independent corroboration from separate outlets. The first headline foregrounds the British Steel nationalisation alongside oil prices, while the second focuses squarely on oil, gas, and UK borrowing costs in the context of Middle East tensions — suggesting slightly different editorial emphasis on which story was primary. Neither source provides substantial detail on the US-Iran incidents themselves or quotes from officials involved.

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