Key Highlights

  • Iran’s security council secretary Mohsen Rezaei said the military has prepared a response to any new US or Israeli attack.
  • Rezaei said the new plan does not follow familiar rules and is more devastating than the 12-day and 40-day wars.
  • A UK maritime body reported attacks on vessels near Saudi Arabia, Yemen and the UAE from Friday through Sunday.
  • Brent crude settled at USD 109.86 on Friday after reaching USD 110 for the first time since May.

Tehran’s Warning

A senior Iranian security official warned on Sunday that Tehran has prepared a new response plan for any renewed US-Israeli attack. Mohsen Rezaei, secretary of Iran’s Supreme National Security Council, said in a post on X that the armed forces have prepared a response to any new act of adventurism that is far more devastating than the 12-day and 40-day wars.

Those references cover attacks by Israel in June 2025 and the conflict triggered by the United States and Israel in February. Rezaei added that Iran’s new operational plan does not follow the rules with which its adversaries are familiar.

The February conflict began on February 28, when Israel and the United States launched airstrikes on Iran. Iran responded with missile and drone strikes and closed the Strait of Hormuz, the narrow passage through which a large share of the world’s oil exports moves.

Washington’s Position

President Donald Trump said last week that he does not intend to use nuclear weapons against Iran or foresee deploying ground troops in the country. In a television interview broadcast Thursday evening, he said that nuclear weapons are not needed because the United States is the greatest nuclear power in the world.

The interviewer asked about reports that Washington was considering using the GBU-43/B Massive Ordnance Air Blast, widely known as the “Mother of All Bombs.”

Iranian state media quoted Foreign Minister Abbas Araghchi as saying that Iran does not surrender its sovereign rights under pressure, but remains ready for dialogue.

Vessels Under Fire

Shipping in waters around the Arabian Peninsula reported coming under fire in recent days, said the UK Maritime Trade Operations body, which is affiliated with the British Navy.

On Sunday, a tug traveling northeast of the United Arab Emirates was hit by two unknown projectiles. On Saturday, the master of a liquefied natural gas tanker southwest of Yemen reported being approached by a small skiff with seven people on board. The skiff fired twice, and the tanker’s security team responded with two warning shots.

On Friday, another tanker northeast of Saudi Arabia reported being hit by a rocket-propelled grenade fired from a small boat.

The three reports cover a tug and two tankers, in waters near the United Arab Emirates, Yemen and Saudi Arabia, on three consecutive days.

Oil Prices and Regional Spillover

Crude oil prices rose sharply on Friday amid rising tensions in the Middle East, while Ukraine vowed to keep striking Russian refineries. Brent futures hit a session high of USD 110 per barrel for the first time since May before settling at USD 109.86, a gain of 3.7 percent. West Texas Intermediate rose 3.5 percent to settle at USD 101.41 per barrel.

WTI added more than 10 percent last week, while Brent advanced nearly 5 percent. In delayed Sunday data, Brent futures for December delivery traded at USD 108.25 per barrel, down 1.47 percent.

Saudi Arabia intercepted several missiles fired over the Red Sea on Friday, including one heading toward the Yanbu oil export terminal, a military spokesman said. Three drones were also destroyed in the kingdom’s Riyadh and southern regions.

Iran-allied Houthi militants in Yemen repeatedly fired at Saudi Arabia last week. The kingdom’s energy ministry said oil producer Aramco came under attack when militants hit one of its administrative buildings in Dhahran on Tuesday.