New Strikes In Iran As War Enters Day 16

Drone Attacks on UAE Oil Facility Mark Escalation in US-Israel-Iran Conflict as War Enters Day 16. Joumanna Bercetche, Philip Crowther and Laura Davison speak with David Gura and Christina Ruffini on "Bloomberg This Weekend." Iran launched fresh attacks across the Persian Gulf, disrupting shipments at a key United Arab Emirates oil hub and denying US President Donald Trump’s assertion that it’s seeking ceasefire talks.

The UAE and Saudi Arabia reported drone and missile attacks overnight into Monday. Dubai temporarily halted flights at its main airport and said some Emirates departures would be canceled because of a fire at a fuel tank that it said was caused by an Iranian drone.

The UAE oil-export terminal of Fujairah was hit again on Monday, after a strike on Saturday that forced the suspension of some shipments for about a day.

Israel carried out more airstrikes on infrastructure in the Islamic Republic’s capital, Tehran, after a barrage of missiles targeting the Jewish state. The attacks show there’s no letup in the fighting that began with the US-Israeli alliance’s bombing of Iran on Feb. 28. The Strait of Hormuz — a transit point for about a fifth of the world’s oil — remains effectively closed, causing a disruption to global energy supplies that’s double that of the Suez Crisis of 1956, according to Morgan Stanley.

Trump for the first time called on world powers — including France, the UK, Japan and China — to help the US reopen the waterway by sending warships to provide escorts to commercial vessels. None of the countries have so far said they’re yet willing to do that.

Oil prices rose again. Brent climbed 0.5% as of 2:48 p.m. in Dubai to more than $103 per barrel, a move that will heap more pressure on Trump as US gasoline prices jump. Dubai stocks slid into bear-market territory, having dropped 21% from a February high. Trump said over the weekend that Iran is ready to make a deal to end the war, but the US wants better terms, including a commitment by Tehran to abandon nuclear activities.

“Iran wants to make a deal, and I don’t want to make it because the terms aren’t good enough yet,” he said.

Read More: Gulf Economies at Risk of Worst Slump Since ‘90s on Iran War

Yet Iranian Foreign Minister Abbas Araghchi denied seeking talks or a ceasefire with the US.

“The reason we say we do not want a ceasefire is not because we are seeking war, but because this time this war must end in such a way that our enemies never again think of repeating these attacks,” Araghchi said at a media briefing on Monday. “I think they have already learned a good lesson and understood what kind of nation they are dealing with.” Japan, which rarely wants to appear out of lockstep with the US, said through a senior official that efforts to escort ships through Hormuz face “high hurdles.” Australia ruled out sending warships.

While China hasn’t made any direct response to Trump’s request, the state-run Global Times dismissed the idea as a US attempt to spread the risk “of a war that Washington started and can’t finish.” Trump threatened to delay his summit with Xi Jinping if Beijing doesn’t help secure the strait.

European Union foreign ministers will discuss the idea of expanding the bloc’s Aspides naval mission from the Red Sea to the Strait of Hormuz when they meet Monday, though officials cautioned no decisions are imminent. The military operation to secure shipping in the Red Sea “has not been effective so far,” German Foreign Minister Johann Wadephul told ARD television on Sunday, adding Berlin was very skeptical about any expansion of the naval mission.

The Pentagon estimates the war — which US officials said cost the country $11.3 billion in the first six days alone — would take four to six weeks, said Kevin Hassett, head of the White House’s National Economic Council. Underscoring the domestic pressure on Trump, Hassett was among several administration officials on Sunday asking Americans for patience as global oil prices rise.

Watch Bloomberg Radio LIVE on YouTube

Weekdays 7am-6pm ET

Follow us on X

Subscribe to our Podcasts:

Bloomberg Daybreak

Bloomberg Surveillance

Bloomberg Intelligence

Balance of Power

Bloomberg Businessweek

Listen on Apple CarPlay and Android Auto with the Bloomberg Business app:

Apple CarPlay

Android Auto

Visit our YouTube channels:

Bloomberg Podcasts

Bloomberg Television

Bloomberg Originals