Regional
Iran names Khamenei’s hardline son Mojtaba as new supreme leader, oil surges
Iran on Monday named Mojtaba Khamenei to succeed his father Ali Khamenei as supreme leader, signaling that hardliners remain firmly in charge, as the week-old U.S.-Israeli war with Iran pushed oil above $100 a barrel.
Mojtaba, a cleric with influence inside Iran’s security forces and vast business networks under his father, had been viewed as a frontrunner in the lead-up to Sunday’s vote by the Assembly of Experts, a body of 88 clerics tasked with choosing Ali Khamenei’s successor, Reuters reported.
“By a decisive vote, the Assembly of Experts, appointed Ayatollah Seyyed Mojtaba Hosseini Khamenei as the third Leader of the sacred system of the Islamic Republic of Iran,” the Assembly said in a statement issued just after midnight Tehran time.
The position gives Mojtaba the final say in all matters of state in the Islamic Republic.
Mojtaba’s appointment will likely draw the ire of U.S. President Donald Trump, who said on Sunday that Washington should have a say in the selection. “If he doesn’t get approval from us, he’s not going to last long,” he told ABC News.
Israel, ahead of the announcement, threatened to target whoever was chosen.
In an interview with the Times of Israel after the new supreme leader was named, Trump declined to respond, saying only “We’ll see what happens,” according to the newspaper. Trump also said in the interview that ending the war would be a “mutual” decision with Israeli Prime Minister Benjamin Netanyahu.
Mojtaba’s father, Supreme Leader Ali Khamenei, was killed in one of the first strikes launched against Iran more than a week ago.
Washington on Sunday ordered the departure of non-emergency employees at its embassy in Saudi Arabia, the latest drawdown of U.S. diplomats as Iran has struck U.S. facilities in the region.
The U.S. military reported a seventh American has died from wounds sustained during Iran’s initial counter-attack a week ago, a day after Trump presided over the return to the United States of the remains of the six others killed.
The U.S.-Israeli attacks have killed at least 1,332 Iranian civilians and wounded thousands, according to Iran’s U.N. ambassador.
OIL OVER $100 A BARREL
The expanding war has severely impacted the oil trade and surging prices sparked a fall in share futures in Asia on Monday, amid fears of rising living costs. The dollar rose sharply against the euro and the yen.
U.S. crude futures rose more than 20% in early trade on Monday, hitting their highest since July 2022, amid fears of tighter supply and prolonged disruptions to oil shipments through the Strait of Hormuz. Brent jumped 17% to $108.73 a barrel, having already soared 28% last week.
On Wall Street, S&P 500 futures shed 1.6%, while Nasdaq futures dived 1.7%.
Trump, in a social media post, said oil prices “will drop rapidly when the destruction of the Iran nuclear threat is over,” and said the price hike was “a very small price to pay for U.S.A., and World, Safety and Peace.”
DEFIANCE FROM TEHRAN
Iranian state media said the leadership of Iran’s armed forces had pledged allegiance to Mojtaba Khamenei and the Islamic Revolutionary Guard Corps said in a statement they are ready to follow the new supreme leader.
The Assembly of Experts met on Sunday to elect a new supreme leader despite threats that the body would be targeted, Iran’s security chief, Ali Larijani, said on state TV after the announcement.
Mojtaba Khamenei could lead the country under the current sensitive conditions, Larijani said, calling for unity around the new leader.
Iran has launched strikes across the region in retaliation against U.S. and Israeli attacks. The U.S. State Department said on Sunday it had ordered non-emergency U.S. government employees and their family members to leave Saudi Arabia due to safety risks, days after the embassy in the Saudi capital was damaged in a drone attack blamed on Iran.
Early on Sunday, the Saudi Defence Ministry said that it had shot down a drone that attempted to target the Diplomatic Quarter, a calm tree-lined neighbourhood on the city’s western edge that hosts most foreign missions including the U.S. embassy.
The U.S. has already raised its warning level for Saudi Arabia and allowed some personnel to leave the country, and has ordered the departure of staff at embassies in Qatar, Kuwait, Jordan and Bahrain since the outbreak of the war.
Israel continued to target senior Iranian figures, including Abolqasem Babaian, the recently appointed head of the military office of the supreme leader, saying he was killed in a Saturday strike.
‘DANGEROUS NEW PHASE’
As fighting escalated on Sunday, day nine of the U.S.-Israeli campaign against Iran, thick black smoke hung over Tehran, residents said, after strikes on oil storage facilities had lit up the night sky with plumes of orange flame.
Iran’s foreign ministry spokesperson Esmaeil Baghaei said the large-scale attack marked a “dangerous new phase” of the conflict and amounted to a war crime.
Israeli military spokesman Lieutenant Colonel Nadav Shoshani told reporters the depots were used to fuel Iran’s war effort, including producing or storing propellant for ballistic missiles. “They are a legal military target,” he said.
Netanyahu said his government would press on with the assault and strike Iran’s rulers “without mercy”.
“We have an organised plan with many surprises to destabilise the regime and enable change,” he said in a video statement.
Regional
Iran gave US a proposal for reopening the Strait Of Hormuz and ending the war, Axios reports
Iran through Pakistani mediators gave the U.S. a new proposal on reopening of the Strait of Hormuz and the ending of the war, with nuclear negotiations postponed for a later stage, Axios reported on Sunday, citing a U.S. official and two sources with knowledge of the matter.
Meanwhile, U.S. President Donald Trump said on Sunday Iran could telephone if it wants to negotiate an end to their two-month war and stressed it can never have a nuclear weapon, after Tehran said the U.S. should remove obstacles to a deal, including its blockade of Iran’s ports, Reuters reported.
Hopes of reviving peace efforts receded on Saturday when Trump scrapped a visit to Islamabad by his envoys Steve Witkoff and Jared Kushner. Iranian Foreign Minister Abbas Araqchi shuttled to and from mediators Pakistan and Oman on Sunday before heading to Russia, where he is due to meet President Vladimir Putin.
Oil prices rose, the dollar inched higher and U.S. stock futures wobbled lower in early Asia trade on Monday after the peace talks stalled, leaving Gulf shipping blocked.
“If they want to talk, they can come to us, or they can call us. You know, there is a telephone. We have nice, secure lines,” Trump told “The Sunday Briefing” on Fox News.
“They know what has to be in the agreement. It’s very simple: They cannot have a nuclear weapon, otherwise there’s no reason to meet,” Trump said.
Regional
US-Iran peace hopes fade as Trump scraps talks
Hopes of a diplomatic breakthrough in the U.S.-Israeli war with Iran receded as a new week began, with talks aimed at ending the two-month conflict at a standstill and both Tehran and Washington showing little willingness to soften their terms.
Iranian Foreign Minister Abbas Araqchi left mediator Pakistan empty-handed at the weekend, and U.S. President Donald Trump canceled a planned visit to Islamabad by his envoys Steve Witkoff and Jared Kushner, dealing back-to-back blows to peace prospects, Reuters reported.
The deadlock leaves the world’s biggest economy and a major oil power locked in a confrontation that has already pushed energy prices to multi-year highs, stoked inflation and darkened global growth prospects.
Iranian President Masoud Pezeshkian told Pakistani Prime Minister Shehbaz Sharif by phone that Tehran would not enter “imposed negotiations” under threats or blockade, according to a statement from the Iranian government.
Pezeshkian said the United States should first remove “operational obstacles,” including its blockade on Iranian ports, before negotiators can lay any groundwork to resolve the conflict.
Araqchi described his visit to Pakistan as “very fruitful.” An Iranian diplomatic source in Islamabad said Tehran would not accept “maximalist demands” from the United States.
Trump told reporters in Florida that he scrapped the envoys’ visit because the talks involved too much travel and expense to consider an inadequate offer from the Iranians. After the diplomatic trip was called off, Iran “offered a lot, but not enough,” Trump said.
On Truth Social, he wrote that there was “tremendous infighting and confusion” within Iran’s leadership.
“Nobody knows who is in charge, including them,” he posted. “Also, we have all the cards, they have none! If they want to talk, all they have to do is call!!!”
Pezeshkian said on Thursday that there were “no hardliners or moderates” in Tehran and that the country stood united behind its supreme leader. Iran’s top negotiator Mohammad Baqer Qalibaf and Araqchi echoed the message in recent days.
Adding to regional strains, Israeli Prime Minister Benjamin Netanyahu ordered his troops to attack Hezbollah targets in Lebanon, his office said, further testing a three-week ceasefire.
Tehran has largely closed the Strait of Hormuz, which normally carries one-fifth of global oil and liquefied natural gas shipments, while Washington blocks Iran’s oil exports.
White House press secretary Karoline Leavitt earlier said the U.S. had seen some progress from the Iranian side and that Vice President JD Vance was ready to travel to Pakistan. Vance led an unsuccessful first round of talks in Islamabad this month.
The U.S.-Iran conflict, in which a ceasefire is in force, began with U.S.-Israeli airstrikes on Iran on February 28. Iran has since struck Israel, U.S. bases and Gulf states.
Regional
Iran’s foreign minister arrives in Pakistan, Trump expects offer satisfying US demands
Iranian Foreign Minister Abbas Araqchi arrived in the Pakistani capital Islamabad on Friday to discuss proposals for restarting peace talks with the U.S., offering some hope for an end to the eight-week war that has killed thousands and sown turmoil in global markets.
U.S. President Donald Trump told Reuters on Friday that Iran plans to make an offer aimed at satisfying U.S. demands, but said he did not yet know what the offer entailed.
When asked who the U.S. was negotiating with, Trump said: “I don’t want to say that, but we’re dealing with the people that are in charge now.”
But Iran’s foreign ministry spokesperson said on X that Iranian officials did not plan to meet with U.S. representatives, even though U.S. special envoys Steve Witkoff and Jared Kushner planned to travel to Islamabad. Iran’s concerns would be conveyed to Pakistan, the spokesperson said.
After a U.S. bombing campaign and Iran’s blocking of the strategic Strait of Hormuz, the two countries are at a costly impasse, with Iran’s oil exports blocked and U.S. gasoline prices at multi-year highs.
Speaking before the Iranian foreign ministry’s statement, White House press secretary Karoline Leavitt said Witkoff and Kushner would leave for Pakistan on Saturday morning for talks with Araqchi.
Leavitt struck an upbeat tone, saying the U.S. had seen some progress from the Iranian side in recent days and hoped more would come this weekend.
She added that U.S. Vice President JD Vance, who earlier this month led a first round of unsuccessful talks with Iran to end their war, is ready to travel to Pakistan as well.
The White House did not immediately respond to a request for comment on the Iranian statement.
Pakistani sources said earlier that a U.S. logistics and security team was already in place in Islamabad for potential talks.
Pakistan’s foreign ministry confirmed Araqchi’s arrival in Islamabad, where a heavy military and paramilitary presence was visible across the central parts of the city.
Araqchi went straight into a meeting with Pakistani Foreign Minister Ishaq Dar at the Serena Hotel, where the first round of talks with the U.S. was held, two government sources said.
Qatar’s Emir Sheikh Tamim bin Hamad Al Thani pledged his country’s support for mediation efforts by Pakistan in a phone call with Trump, Qatar’s state news agency reported.
Araqchi wrote on X that he was visiting Pakistan, Oman and Russia to coordinate with partners on bilateral matters and consult on regional developments. The tour will include consultations on the latest efforts to end the war, Iran’s Foreign Ministry spokesperson later told state media.
U.S. Defense Secretary Pete Hegseth told a briefing earlier on Friday that Iran had a chance to make a “good deal” with the United States.
“Iran knows that they still have an open window to choose wisely,” he said. “All they have to do is abandon a nuclear weapon in meaningful and verifiable ways.”
The last round of peace talks had been expected to resume on Tuesday but never took place, with Iran saying it was not yet ready to commit to attending and a U.S. delegation led by Vance never leaving Washington.
Trump unilaterally extended a two-week ceasefire on Tuesday to allow more time to reconvene the negotiators.
Oil prices remained volatile on Friday, as traders weighed potential disruption from the worst oil shock in history amid the prospect for further talks.
Brent crude futures settled at $105.33 a barrel, about 0.3% higher, while U.S. West Texas Intermediate futures were down 1% at $94.88.
HEZBOLLAH DISMISSES LEBANON CEASEFIRE EXTENSION
On Thursday, Israel and Lebanon extended a separate ceasefire for three weeks at a White House meeting brokered by Trump.
The war in Lebanon, which Israel invaded last month to root out Iran’s Hezbollah allies after the militant group fired across the border, has run in parallel with the wider Iran war, and Tehran says a ceasefire there is a precondition for talks.
There was little sign of an end to the fighting in southern Lebanon. Lebanese authorities reported two people were killed by an Israeli strike and Hezbollah downed an Israeli drone.
While the ceasefire that came into force on April 16 has led to a significant reduction in hostilities, Israel and Hezbollah have continued to trade blows in southern Lebanon, where Israel has kept soldiers in a self-declared “buffer zone.”
“It is essential to point out that the ceasefire is meaningless in light of Israel’s insistence on hostile acts, including assassinations, shelling, and gunfire” and its demolition of villages and towns in southern Lebanon, Hezbollah lawmaker Ali Fayyad said in response to the extension of the ceasefire.
Israel’s military said it had killed six armed Hezbollah members in southern Lebanon on Friday.
STRAIT OF HORMUZ BLOCKADE
Trump on Thursday said he wanted an “everlasting” agreement with Iran, while asserting the U.S. had an upper hand in the standoff in the Strait of Hormuz, the world’s most important energy shipping route.
The U.S. has yet to find a way to open the strait, where Iran has blocked nearly all ships apart from its own since the start of the war eight weeks ago. Iran showed off its control this week by seizing two huge cargo vessels there.
Trump imposed a separate blockade of Iranian shipping last week. Iran says it will not reopen the strait until Trump lifts his blockade.
Only five ships crossed the strait in the last 24 hours, shipping data showed on Friday, compared to around 130 a day before the war. Those included one Iranian oil products tanker, but none of the vast crude-carrying supertankers that normally feed global energy markets.
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