Trump vows more strikes as US and Iran exchange fire

The United States and Iran have engaged in a direct exchange of fire, marking the first such confrontation in a month. US forces struck Iranian rocket launchers on Larak Island in the Strait of Hormuz, which US Central Command stated were preparing to deploy sea mines. In retaliation, Iran launched ballistic missiles targeting US military bases in Jordan and the United Arab Emirates. The UAE reported intercepting a drone, while the US stated that missiles fired at Jordan were intercepted with no significant impact.

President Donald Trump responded to Iran's actions by threatening further, forceful retaliation and labeling Iran a "failed nation" with severe economic issues, including 300% inflation. US Treasury Secretary Scott Bessent echoed Trump, stating that Iran was "lashing out" due to the heavy impact of new sanctions on its economy.

The US claims to have recently cleared the Strait of Hormuz of mines, an assertion Iran disputes. The conflict has raised concerns about global energy supply, as the Strait of Hormuz is a critical chokepoint for oil transport.

Iranian President Masoud Pezeshkian indicated that continuing the conflict is not in Iran's interest and expressed readiness to implement a US memorandum of understanding mediated by Pakistan. However, the Iranian currency faced renewed pressure, and the IRGC warned that ships violating its passage rules would face consequences. A G20 finance ministers meeting is expected to feature discussions on further sanctions against Iran, with Germany urging a diplomatic resolution due to the conflict's inflationary impact.