By The Associated Press
The U.S. Embassy in Kuwait shut down after retaliatory Iranian strikes on the country, becoming the second American diplomatic mission to fully halt work as the war in Iran escalates. Kuwait is also where six American soldiers were killed by an Iranian drone Sunday.
U.S. President Donald Trump said Thursday he should have a role in choosing Iran’s next supreme leader, raising questions about whether Washington and Israel seek regime change or policy concessions as the conflict has appears increasingly open-ended.
Tehran has warned of the destruction of the Middle East’s military and economic infrastructure, and the war has rattled financial markets, with the Dow dropping 1,000 points as oil prices climb more.
The war has killed at least 1,230 people in Iran, more than 70 in Lebanon and around a dozen in Israel, according to officials in those countries.
Death toll in Lebanon rises to 123
The number of people killed in Lebanon since a resurgence in hostilities between Israel and the Hezbollah militant group Monday has risen to 123, with 683 people wounded, the Lebanese health ministry said Thursday.
It was not clear how many of the casualties were civilians. The health ministry had earlier said that seven children were killed.
Meanwhile, Israel struck Beirut’s southern suburbs Thursday evening after issuing an evacuation notice earlier, urging residents to “save your lives and evacuate your homes immediately,” prompting a mass exodus as people scrambled to find shelter.
Two hospitals in the area also evacuated patients and staff ahead of the anticipated bombardment.
Bahrain’s UN envoy urges international condemnation of Iran for jeopardizing free navigation
Ambassador Jamal Alrowaiei told the U.N. Security Council that Iran’s actions “are threatening the freedom of navigation” and critical energy infrastructure.
Alrowaiei, the Arab representative on the U,N.’s most powerful body, said Iran has targeted “critical infrastructure” in Bahrain and the region. And he echoed the regional Gulf Cooperation Council’s strong condemnation of Iran’s “unjustified” aggression and demand for an immediate halt to its attacks.
“Any attempt to jeopardize navigation in the Strait of Hormuz will lead to an increase in energy prices … and negatively affect international economies,” he warned at the U.S.-called meeting on “Energy, Critical Minerals, and Security.”
Bahrain urges international cooperation “to protect critical corridors and strategic infrastructure” and stresses its support for international law and the sovereignty of nations, Alrowaiei said.
Israel warns citizens of dangers traveling abroad during the war
Israel on Thursday warned its citizens traveling abroad that the ongoing hostilities could make them targets of attacks or otherwise endanger them. The country’s Government Press Office said in a statement that “several attempts to carry out terrorist attacks against Israelis have been thwarted and disrupted.”
It urged Israelis to conceal Jewish identifiers, avoid traveling through the United Arab Emirates, refrain from sharing personal information on social media and remain vigilant or avoid visiting Jewish sites.
The warning cited recent violence in Canada and Texas, where authorities are investigating whether motive of a gunman who opened fire at a bar in Austin was Iran-related.
Iran has in the past staged “asymmetric attacks” targeting Jews and Israelis, including in Europe and South America, and such responses were feared before the war broke out.
Israel says 40% of Iran’s missile launchers are still intact, but promises more ‘surprises’
Israel’s top general on Thursday said the country’s military had degraded most of Iran’s air defenses and specifically hit sites used to launch missiles toward Israel.
Lt. Gen. Eyal Zamir, the army’s chief of the General Staff, said Israel’s air force had destroyed 80% of Iran’s air defenses and 60% of its missile launchers but noted “the threat has not yet been removed. Every missile is lethal and poses a danger.”
“We are now moving to the next phase of the operation. In this phase, we will further dismantle the regime and its military capabilities. We have additional surprises ahead that I do not intend to disclose,” Zamir said.
Closing another U.S. diplomatic mission
It’s the second diplomatic mission to fully suspend operations since the start of the war with Iran.
“While there have been no reported injuries to U.S. personnel, the safety of Americans abroad remains the highest priority of the U.S. Department of State,” it said in a statement about the status of the embassy in Kuwait City.
Shortly before the announcement, the department said that Secretary of State Marco Rubio had called the Kuwaiti foreign minister to express condolences for the deaths of at least two Kuwaiti troops in Iranian retaliatory strikes.
Although numerous U.S. embassies and consulates in the Middle East have closed to the public since the war began, only the consulate in Karachi, Pakistan, had suspended operations.
Stocks are falling sharply on Wall Street as gas prices rise
As oil prices rise further because of the war with Iran, the Dow dropped 1,052 points, or 2.2%, the S&P 500 sank 1.4% coming off a frenetic start to the week, and the Nasdaq composite fell 1.3%.
Airlines and stocks of smaller U.S. companies tumbled to some of the sharpest losses. Oil prices rallied following the latest escalations in the war. Treasury yields also jumped with worries that higher inflation could keep the Federal Reserve from cutting interest rates.
Still, the U.S. stock market has a history of bouncing back relatively quickly following conflicts in the Middle East and elsewhere. That has many professional investors suggesting patience and riding through the market’s swings.
The price of oil spiked to its highest level since the summer of 2024 because of the war with Iran. Sharp increases there are raising worries that a long-term surge could grind down the global economy, exhaust households’ ability to spend and push interest rates higher.
The price for a barrel of benchmark U.S. crude shot up 8.5% Thursday to settle at $81.01 per barrel. Brent crude, the international standard, climbed 4.9% to $85.41 per barrel and is likewise near its highest price since 2024.
Oil prices gave back some of those gains later in the day, which helped stocks in the U.S. moderate their losses at the end of trading. But worries nevertheless remain high about how long disruptions will last for oil production because of the escalating war with Iran. Prices at U.S. gasoline pumps have already leaped because of them. The average price for a gallon is $3.25, up 9% from $2.98 a week ago, according to auto club AAA. In Lexington, the price of gas is now 3 dollars, 19 cents, according to GasBuddy. That’s a 30 cent increase from a week ago.
If oil prices spike further, like to $100 per barrel, and stay there, some analysts and investors say it could be too much for the global economy to withstand. Uncertainty about what will happen has caused frenetic swings across financial markets this week, sometimes hour by hour.
Much will depend on what happens with the Strait of Hormuz, where ships have been attacked. Roughly a fifth of the world’s oil typically sails through the narrow waterway off Iran’s coast.