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Posted Zero Hedge

Summary

• Fujairah says 3 injured in Iranian attack on Oil Industry Zone, UAE confirms “air defenses are now dealing with a missile threat”, we have gotten reports of explosions in Dubai, which has sent oil higher and Emini futures into the red. UAE threatens retaliation. 
• CENTCOM hails two US merchant ships exiting Hormuz Strait safely in “first step”. Bessent issues remarks warning the US “will fire if fired upon.”
• Iran insists Hormuz is under its control & says it targeted & struck a US Navy vessel, which the Pentagon/Central Command has denied.
• Trump announced Sunday US will ‘help free up’ ships stuck in Hormuz Strait through Project Freedom. Iran has in response issued a “redefined the control zone” in Strait of Hormuz.
• Pakistan facilities good faith return of Iranian crew members of US-seized merchant ship from two weeks ago.

Ceasefire Broken? Israel Awaiting US Greenlight, Trump Downplays

There remain lingering questions over whether the US-Iran ceasefire has definitively broken down with today’s Iranian attack on the UAE, as well as tit-for-tat hostilities in the Persian Gulf area. This as Israeli media says the Netanyahu government is awaiting a ‘green lig

ht’ to attack Iran again. Also the UAE is now planning a ‘severe retaliatory response’ and ‘harsh revenge’ against Tehran, per MS Now.

Yet strangely, the latest statement out of CENTCOM doesn’t touch on the question of a broken ceasefire, and President Trump himself has been silent on the matter, per the AP:

Cooper declined to say whether the exchange of hostilities between U.S. and Iranian forces in the Strait of Hormuz today amounted to an end to the ceasefire agreement. Cooper told reporters in a phone call this afternoon that Iran “initiated aggressive behavior” in the strait, according to a readout of the call provided by The Associated Press. “What we saw this morning was Iran initiating aggressive behaviors,” Cooper said. “We are simply going to respond to that.”

Trump’s response:

UAE Threatens Military Response

A fresh official statement: “The United Arab Emirates strongly condemns the new Iranian attacks that targeted civilian sites and facilities in the country, using missiles, drones, and cruise missiles, which resulted in the injury of three Indian nationals.”

“The Ministry of Foreign Affairs affirmed in its statement that these attacks constitute a serious and reckless escalation, and a blatant violation of the security and stability of the state, as well as a clear violation of the principles of international law and the United Nations Charter.” And the UAE followed with the threat that it has the right to respond militarily against ongoing “aggression and provocation”: 

The UAE stressed that it will not tolerate any aggression against its security and sovereignty, and that it will respond with full force and firmness to these attacks, in a manner that fully protects its national security and the safety of its citizens and residents, in accordance with international law.

There are further confirmed reports of injuries and a fire at one or more oil facilities:

Three Indian nationals have been injured in the drone attack on Fujairah’s petroleum industrial site being blamed on Iran, the Fujairah Media Office says. The three have been taken to the hospital and their injuries have been termed “moderate”.

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