Middle East conflict live updates: Pentagon officials weigh up deployment of airborne troops for Iran war
Watch: Govt announces $50 a week for low-income families
Pinned Vera Alves
From April 7, about 143,000 working families with children will get an extra $50 a week through a boost to the In-Work Tax Credit.
Iran has laid at least a dozen mines in Strait of Hormuz, says US
Nazahryth Bernard
Iran has laid at least a dozen mines in the Strait of Hormuz, US intelligence officials have claimed.
The strait, which serves as a conduit for a fifth of the world’s oil, was paralysed after Iran threatened to destroy any vessel using the critical shipping lane.
US officials have said there are at least a dozen Maham 3 and Maham 7 Limpet mines under the narrow waterway, according to CBS News. They will need careful extraction before shipping can resume.
The Iranian-manufactured Maham 3 is a moored naval mine that uses magnetic sensors to detect nearby vessels without physical contact, while the Maham 7 is a compact, high-explosive sticking mine.
Donald Trump announced a five-day ceasefire on Iranian energy targets on Monday (local time) after he said peace talks with the Islamic Republic were progressing.
The US President said he would jointly run the Strait of Hormuz with Iran after the war ended.
Senior regime figures said Trump had “backed down”, adding that no negotiations had taken place. They said it was “fake news” being used to “manipulate the financial and oil markets”.
Ursula Von der Leyen, the European Commission president, described the current global energy crisis as critical and called for an immediate ceasefire in the Middle East.
– Daily Telegraph UK
Stocks rebound after Trump suspends strikes on Iran power sites
Nazahryth Bernard
Asian stock markets recovered slightly on Tuesday as investors on the continent reacted for the first time to Donald Trump’s postponement of bombings on Iran’s power grid.
Japan’s benchmark Nikkei 225 was up 1.4% following a 3.5% decline on Monday, while South Korea’s Kospi rebounded by 2.7% after a 6.5% fall the day before.
Asian markets fell heavily at the start of the week before the US president said he had held “very strong” talks with Iran about a potential ceasefire.
European stocks are expected to continue their rally when trading begins later.
Jim Reid, an analyst at Deutsche Bank, said: “For markets, the fact that the two sides might be talking was taken as a huge positive, because it opened up the tail outcome of a much quicker end to the conflict than previously supposed.”
He added: “Obviously, much now depends on the progress of any talks, and whether the more optimistic rhetoric is followed up by concrete action.”
– Daily Telegraph UK
Iranian projectiles cause fire in Bahrain
Nazahryth Bernard
Emergency workers in Bahrain managed a fire at a building as the country continues to be targeted with air strikes.
The country’s Ministry of Interior shared a photograph of workers standing at the site of an extinguished fire on social media, with the caption: “Civil Defence extinguished a fire in a facility of a company as a result of the Iranian aggression. Relevant procedures were taken at the site.”
Hours earlier, residents were told to head to a safe place after alarms sounded once again.
It was not clear if the fire was due to falling debris caused by an intercepted aerial threat or by a direct attack by Iran.
On Monday, officials said Bahrain had intercepted and destroyed 147 missiles and 282 drones since the start of Iranian attacks.
– Daily Telegraph UK
Iran media says energy infrastructure attacked
Nazahryth Bernard
Iranian media reported on Tuesday that Israeli-US strikes targeted two gas facilities and a pipeline, hours after US President Donald Trump stepped back from his threat to attack power infrastructure.
"As part of the ongoing attacks carried out by the Zionist and American enemy, the gas administration building and the gas pressure regulation station on Kaveh Street in Isfahan were targeted," said the Fars news agency.
The facilities in central Iran were "partially damaged", added Fars, which was Iran's only news outlet to report the incident.
It said an attack also targeted the gas pipeline of the Khorramshahr power plant, in the country's southwest.
"A projectile hit the area outside the Khorramshahr gas pipeline processing station," Fars reported, quoting the governor of the city bordering Iraq.
It did not specify the extent of the damage.
Trump told AFP on Monday that "things are going very well" with Iran, shortly after announcing talks with Tehran and a five-day pause on targeting the Islamic Republic's power plants.
Trump's abrupt shift on Iran came hours before the expiration of a two-day ultimatum under which he threatened to attack Iranian power plants if Tehran did not reopen the strategic Strait of Hormuz.
Iranian media, however, said on Monday that there were no negotiations underway towards ending the war.
– AFP
Rocket attack kills six fighters in Iraqi Kurdistan: security official – AFP
Nazahryth Bernard
How NZ’s $50 fuel relief package compares with other countries' efforts
Nazahryth Bernard
New Zealand’s newly announced fuel relief package will give about 143,000 “squeezed middle” families $50 a week through a boost to the In-Work Tax Credit.
However, unlike many overseas responses to the oil supply shock, it does not directly reduce the price of petrol at the pump nor offer support to businesses.
Six injured in Tel Aviv after Iran missile alert: medics
Nazahryth Bernard
First responders said six people were injured on Tuesday in Israel's commercial hub Tel Aviv, where police reported several impact sites after the military warned of incoming missile fire from Iran.
Israel's Magen David Adom emergency medical service said "six people were lightly injured at four different sites" and released videos showing a partially gutted building and vehicles on fire.
Police in Tel Aviv said they were handling "several impact sites of munitions".
– AFP
Strike in western Iraq kills 15 fighters: new toll
Nazahryth Bernard
A strike in western Iraq on Tuesday killed a commander and 14 fighters from the former paramilitary coalition Hashed al-Shaabi, a statement from the group said, updating the toll and blaming the United States.
The fighters from the Hashed al-Shaabi, also known as the Popular Mobilisation Forces (PMF), were killed in a "treacherous American attack that targeted the operation headquarters" in western Anbar province, the statement said. An earlier toll put the toll at seven.
The PMF is now part of Iraq's regular army, but also includes some pro-Iranian groups.
– AFP
Senior Trump official who resigned over war backs Trump’s postponement
Nazahryth Bernard
The first senior Trump administration official to resign over the Iran war has backed Donald Trump’s postponement of strikes against Iran’s energy infrastructure.
Joe Kent, the director of the National Counterterrorism Centre, stepped down from the administration last week and suggested that the US President had been “deceived” by Israeli authorities.
Despite being criticised by Trump yesterday, Kent made clear his support for the five-day pause on attacks on Iranian energy sites.
He said: “President Trump is working to get peace with Iran. If he can make this happen, it will be a very good thing for our nation and our allies in the Gulf.
“The Israelis will be against this, but the president is strong and can get them on board.”
– Daily Telegraph UK
Saudi Arabia ‘close to joining attacks against Iran’
Nazahryth Bernard
Saudi Arabia is reportedly close to a decision to join attacks against Iran, according to the Wall Street Journal.
Sources told the outlet that Mohammed bin Salman, the Saudi crown prince, was eager to re-establish a deterrent and is mulling over joining the offensive action against the Islamic Republic.
Faisal bin Farhan, the country’s foreign minister, told reporters last week that the state’s “patience with Iranian attacks is not unlimited”, adding: “Any belief that Gulf countries are incapable of responding is a miscalculation.”
Before the start of the war, Saudi Arabia joined Israel in lobbying the US to launch strikes against Iran, according to the Washington Post.
The crown prince argued in favour of an attack during multiple phone calls with US President Donald Trump in the month prior to the intervention.
– Daily Telegraph UK
Global responses to fuel shortages and rising prices
Nazahryth Bernard
- The president of the Philippines has said grounding planes due to a shortage of jet fuel brought on by the war in Iran is a “distinct possibility”. The country has also introduced a four-day working week to cut down on fuel consumption.
- South Korea and Thailand have introduced caps on domestic fuel prices
- Sri Lanka has implemented fuel rationing
- The Irish Government is set to cut excise duty on petrol and diesel from midnight on Wednesday until the end of May
– Daily Telegraph UK
Luxon speaks with European Commission President about Middle East conflict
Nazahryth Bernard
IDF conducting search and rescue after strikes hit southern Israel
Nazahryth Bernard
Israeli military have said search and rescue forces are on their way to southern Israel after reports that strikes have hit the region.
– Daily Telegraph UK
Gulf states block Iranian drone attacks overnight
Nazahryth Bernard
Gulf states continued to block drones and other air attacks from Iran overnight.
Saudi Arabia’s Ministry of Defence confirmed its forces intercepted more than 20 drones over Monday night and the early hours of Tuesday morning.
Meanwhile seven overhead transmission lines were taken out of service in Kuwait due to damage caused by falling debris from the interpretation of an Iranian attack, a spokesperson for its Ministry of Electricity said.
– Daily Telegraph UK
Israeli strike on Bshamoun, south of Beirut, kills two: health ministry - AFP
Nazahryth Bernard
Israel strikes hit 7 areas of south Beirut overnight: Lebanon state media
Nazahryth Bernard
Israel targeted seven areas of Beirut's southern suburbs overnight, Lebanese state media reported on Tuesday.
"Enemy warplanes launched seven raids overnight on the southern suburbs," Lebanon's state-run National News Agency reported, adding that seven areas were targeted.
– AFP
Luxon speaks to Malaysian PM amid oil crisis
Nazahryth Bernard
Prime Minister Christopher Luxon has spoken with his Malaysian counterpart as fuel prices soar amid turmoil in Iran.
In a social media post, Luxon said he and Malaysian Prime Minister Anwar Ibrahim discussed the countries’ “shared commitment to keeping supply chains open”.
“With Malaysia the third largest supplier of New Zealand’s refined fuel, open trade and strong relationships are essential in challenging times like these,” Luxon added.
“Our conversation reinforced our plans to keep working together closely and our support for de-escalation in the Gulf.”
South Korea restricts car use, extends fuel price caps
Nazahryth Bernard
South Korea has announced it will limit car use by public employees and extend Government-set caps on fuel prices in response to possible oil supply disruption following the war in Iran.
President Lee Jae Myung called for national unity to overcome the war's growing strain, which he likened to challenges South Korea faced during the Covid-19 pandemic and previous financial crises, while announcing the measures at a Cabinet meeting today.
Public employees with fossil-fuel vehicles must keep their cars off the road at least one day per week starting on Wednesday, with exemptions for electric and hydrogen vehicles, AP reported.
Earlier this month, South Korea returned to fuel price caps it scrapped in the 1990s to temper soaring costs, with Lee confirming the temporary fortnightly caps will continue.
Around 51% of the fuel New Zealand imports comes from South Korea, with 31% from Singapore.
Avgas price shock hits flight schools and farm pilots
Nazahryth Bernard
Some flight schools, tour operators and pilots crucial to farming are facing huge fuel cost increases they can’t pass on, an aviation group says.
Japan to release national oil reserves from Thursday
Nazahryth Bernard
Japan will release another part of its strategic oil reserves from Thursday, its Prime Minister Sanae Takaichi said on Tuesday, after Tokyo began to tap stockpiles last week.
"In order to secure 'the necessary amount for the whole of Japan' ... we will release the state [oil] reserve from 26th March this week," she said in a post on social media.
– AFP
Iran launches 'new wave of missiles' at Israel
Nazahryth Bernard
Iran launched another round of missiles towards Israel early on Tuesday, state television announced.
"Iran fires new wave of missiles at occupied territories," the state-run Islamic Republic of Iran Broadcasting posted on Telegram.
Moments later, it posted that the "Iranian missiles pass(ed) through several Israeli missile defences".
The Magen David Adom emergency services released video of a damaged building in the north of Israel, and said there were no deaths from the incident.
The Israeli military later on Tuesday morning issued several notices that it had detected incoming Iranian missiles and was working to intercept them.
– AFP
EU chief calls for immediate end to war
Nazahryth Bernard
Ursula von der Leyen has called for an immediate end to the war in Iran.
The President of the European Commission said the crisis in the Middle East had caused a “critical” situation for global energy supply chains.
Speaking alongside Anthony Albanese, Australia’s Prime Minister, after the pair signed a new trade deal, Von der Leyen said: “We all feel the knock-on effects on gas and oil prices on our businesses and our societies.
“It is of utmost importance that we come to a solution that is negotiated, and this puts an end to the hostilities that we see in the Middle East.”
On Tuesday, Australia and the European Union signed a trade agreement that will remove over 99% of tariffs goods exports from the bloc to Australia.
– Daily Telegraph UK
Brent crude oil back above US$100 a barrel
Nazahryth Bernard
Brent crude oil jumped back above US$100 ($171.34) a barrel on Tuesday, a day after plunging more than 10% in reaction to US President Donald Trump's decision to delay fresh strikes on Iran as he hailed "very good" talks with Tehran.
Brent rose 2.9% to US$102.84, while West Texas Intermediate jumped 3.5% to US$91.20.
– AFP
Iraq armed group says commander, fighters killed in strike
Vera Alves
A strike in western Iraq on Tuesday killed a commander and several fighters from the former paramilitary coalition Hashed al-Shaabi, the group said.
The bombing targeted a base in Anbar province during a commanders' meeting, a source from the group told AFP on condition of anonymity, blaming the United States for the attack.
Seven Hashed al-Shaabi fighters were "killed and 13 wounded in a US strike", the source added.
Hashed al-Shaabi, also known as the Popular Mobilisation Forces (PMF), is part of Iraq's regular armed forces but also includes some brigades belonging to Iran-backed groups.
A PMF statement condemned the strike, which it said killed the provincial commander and head of operations in Anbar, Saad Dawai al-Baiji, as well as several fighters, but did not give further details.
A security official told AFP that the wounded were being treated at a hospital.
Iraq has been unwillingly pulled into the war triggered by Israel and the United States striking Iran on February 28.
Pro-Iran armed groups have claimed responsibility for attacks on US interests in Iraq and across the region, while strikes have also targeted these groups.
Since the start of the conflict, Baghdad has repeatedly denounced attacks on the Hashed al-Shaabi.
Last week, the Pentagon acknowledged for the first time that combat helicopters had carried out strikes against pro-Iran armed groups in Iraq during the latest conflict.
– AFP
Waiheke residents demand free public transport
Vera Alves
Waiheke residents will take protest action over high fuel costs, demanding free public transport.
A spokesman for the group Move Waiheke, Felix Blaha-Brethouwer, said people will gather in Ōneroa Village tomorrow morning to demand "the Government make public transport free on Waiheke, where residents face some of the highest fuel prices in the country, due to the US-Israeli war on Iran".
The protest will be held near a BP station that charges $4.23 a litre, Blaha-Brethouwer said.
The group also wants a regulated ferry service, as an adult on-peak return trip costs $62.
“It’s imperative we sort this now. Especially on Waiheke," Blaha-Brethouwer said.
Making the public bus free would provide immediate relief for residents, he said.
Australia, EU agree to boost defence co-operation
Vera Alves
Australia and the European Union agreed on Tuesday to boost co-operation in defence in the face of "contemporary security challenges", the two sides said.
The bloc and Australia will work together in "enhancing co-operation on maritime security, cyber security, countering hybrid threats and foreign information manipulation and interference", the European Commission said in a statement.
They will also work together on "emerging and disruptive technologies", including artificial intelligence, the statement added.
– AFP
Threat to UK from Iran is 'grave' – UK Metropolitan Police head
Vera Alves
The head of the Metropolitan Police has said the force is investigating whether an Islamist group with possible Iranian state links is behind an arson attack on Jewish community ambulances.
The incident in Golders Green, northwest London, in which four vehicles were destroyed in the early hours of Monday (local time), is being treated as an anti-Semitic hate crime but not as terrorism, Scotland Yard has said.
A video has allegedly been posted on Telegram by an Islamist group called Harakat Ashab al-Yamin al-Islamia showing a map of the location where the ambulances were kept and footage of them on fire.
Speaking on Monday (local time) at the annual dinner of the Community Security Trust (CST), a charity that monitors anti-Semitism in the UK, Sir Mark Rowley said the “rapid growth in recent years of Iranian state threats is grave”, but it was “too early” to attribute the attack to the Iranian state.
Rowley said: “Britain’s Jewish community has in recent years been increasingly targeted by individuals, groups and hostile states, intent on spreading fear, hate and harm.
“This volatile mix is at the front of my mind given events of today.”
He added: “The rapid growth in recent years of Iranian state threats is grave: hostile state surveillance activity, 20 disrupted plots, and recent attempted attacks on the Iranian diaspora.
“None of this is isolated.”
– Daily Telegraph UK
Strike in western Iraq kills seven fighters: Armed group source
Vera Alves
A strike in western Iraq on Tuesday killed seven fighters from the former paramilitary coalition Hashed al-Shaabi, a source from the group told AFP, blaming the strike on the United States.
Seven fighters from the Hashed al-Shaabi, also known as the Popular Mobilisation Forces (PMF) and now part of the regular armed forces, were "killed and 13 wounded in a US strike" targeting their base in western Anbar province, a PMF source said.
They added that the bombing occurred during a commanders' meeting, with some people "still trapped under rubble".
A security official told AFP that the wounded were being treated at a hospital.
A PMF statement condemned the strike, saying it had killed a commander and a number of fighters, but did not give further details.
Iraq has been unwillingly pulled into the war triggered by Israel and the United States striking Iran on February 28.
Since the start of the conflict, Baghdad has repeatedly denounced attacks on the Hashed al-Shaabi, which also includes brigades belonging to Iran-backed groups.
Pro-Iran armed groups have claimed responsibility for attacks on US interests in Iraq and across the region, while strikes have also targeted these groups.
Last week, the Pentagon acknowledged for the first time that combat helicopters had carried out strikes against pro-Iran armed groups in the country during the latest conflict.
– AFP
Pentagon officials weigh deployment of airborne troops for Iran war
Vera Alves
The officials spoke on the condition of anonymity to discuss ongoing planning.
Trump says the US is negotiating an end to war, but the Iranians push back
Vera Alves
US President Donald Trump said today that the United States and Iran were negotiating a “total resolution of our hostilities in the Middle East” – backing away from his threats over the weekend to attack Iranian power plants.
Israel detects missile attack after Iran vows ‘special plans’
Vera Alves
Israel's military has detected several missiles launched from Iran in the past half an hour.
The ballistic missiles are targeting northern Israel, the Israeli Defence Forces (IDF) said.
It comes after Iran warned of “special plans” for Israel and its allies tonight (local time) as it denied that negotiations with Washington were under way.
Sources close to the regime said that the plans – probably referring to missile and drone strikes – would “completely remove the hope of negotiations”, Iranian state media reported.
It is the latest sign from Tehran that it does not intend to bow to US President Donald Trump’s threats against its energy infrastructure if it does not agree a peace deal.
– Daily Telegraph UK
EU chief to meet Australian PM as trade talks enter 'last mile'
Vera Alves
European Union chief Ursula von der Leyen will meet Australian Prime Minister Anthony Albanese today as talks to strike a trade pact enter their "last mile" after years of negotiations.
Von der Leyen's visit to Australia with trade commissioner Maros Sefcovic in tow comes as the 27-nation bloc and the import-reliant nation navigate renewed energy vulnerability sparked by the war in the Middle East.
Von der Leyen arrived in Sydney on Monday for a meeting with Australia's Governor-General Sam Mostyn.
Today, she will be in Canberra, where she is expected to meet Prime Minister Anthony Albanese and address Parliament.
The trade accord would be the latest inked by Brussels in a push to diversify trade as Europe faces challenges from the United States and China.
"Clearly there is mutual interest and a positive hunger from both economic communities for having this new framework," Sefcovic said.
"The goal is to tie down the final details," commission spokesman Olof Gill told a press conference in Brussels, cautioning that "the last mile is the hardest".
Improved access to the EU market for Australia's lamb and beef – a big no-no for some European farmers – is understood to be among the last sticking points.
Australia's luxury car tax on European vehicles is another.
Australia's largest export market is China and the United States is its largest source of investment.
But Canberra has redoubled efforts to diversify export markets for farmers since a 2020 dispute with Beijing saw agriculture exports blocked for several years, and then last year's global imposition of US trade tariffs.
Likewise, the European Union is on a drive to strike new partnerships in the face of US levies and Chinese export controls.
The bloc, which is seeking greater access to Australia's critical raw materials, is the resource-rich country's third-largest two-way trading partner and second-largest source of foreign investment.
A deal could boost EU exports to Australia by more than 30% and save exporters about one billion euro a year ($1.99b), Brussels said.
– AFP
Attacks during Iran war on energy could turn economic shock into long-term damage
Vera Alves
From the moment the United States and Israel attacked Iran, the nightmare scenario for the global economy that most people talked about was the closing of the Strait of Hormuz, the most important choke point for oil on the planet.
But a different and more disturbing nightmare began to unfold, with direct attacks on the backbone of the Gulf region’s energy production.
Explainer: The trickle of tankers and cargo ships passing through the Strait of Hormuz
Vera Alves
Here are facts and figures about vessels that have passed through the 167km-long strait since the war broke out with United States-Israeli strikes on Iran on February 28.
Governor Anna Breman says Reserve Bank won’t lift interest rates directly in response to oil price spikes
Vera Alves
Reserve Bank Governor Anna Breman says the central bank is unlikely to hike interest rates in response to higher oil prices putting upward pressure on the general inflation rate.
Trump proposes ‘joint leadership’ of Iran
Vera Alves
Donald Trump has suggested joint leadership in Iran following talks with regime leaders aimed at ending the war.
Trump claimed on Monday (local time) that the US would “jointly control” the Strait of Hormuz and install an unnamed but “very respected” leader of Iran who was more sympathetic to American interests.
Having pulled back on an ultimatum to destroy Iran’s energy facilities, the President said a peace deal was likely but that if negotiations fell apart, the US would “just keep bombing our little hearts out”.
“Maybe joint leadership,” he said when asked by a journalist about governing the country. “Look at Venezuela, how well that’s working out.
“We are doing so well in Venezuela with oil and with the relationship between the President-Elect and us, and maybe we find somebody like that in Iran.”
– Daily Telegraph UK
Vera Alves
Vera Alves
Trump announces 'very good' Iran talks denied by Tehran
Vera Alves
US President Donald Trump hailed "very good" talks with an unidentified Iranian official after abruptly shelving plans for fresh attacks, even as Washington's ally Israel vowed to keep up strikes on the Islamic Republic.
The surprise disclosure – denied by Tehran, which accused Trump of manipulating energy markets – came ahead of a Monday night deadline imposed by Trump for Iran to reopen the Strait of Hormuz shipping lane or see the US "obliterate" its power plants.
Oil prices fell and stock markets jumped as observers scrambled to interpret Trump's statements despite the Iranian denial.
Axios, citing an unnamed Israeli official, identified Trump's interlocutor as Mohammad Bagher Ghalibaf, Iran's Speaker of Parliament and one of its most prominent non-clerical figures.
But Ghalibaf said on X that "no negotiations" were underway, insisting Trump was seeking "to manipulate the financial and oil markets and escape the quagmire in which the US and Israel are trapped."
Iranian foreign ministry spokesman Esmaeil Baqaei said messages were received from "some friendly countries indicating a US request for negotiations aimed at ending the war", but denied any such talks had taken place, Iran's official IRNA agency reported.
Israeli Prime Minister Benjamin Netanyahu said he had spoken to Trump and acknowledged the US thought a deal was possible, but vowed to continue striking Iran and Lebanon to protect Israel.
"Trump believes there is a chance to leverage the tremendous achievements of the IDF and the US military in order to realize the war's objectives in an agreement – an agreement that will safeguard our vital interests," he said.
"At the same time, we continue to strike both in Iran and in Lebanon."
Although Oman mediated indirect US-Iran talks prior to the US and Israel launching the war, Egypt, Qatar and Pakistan have been suggested as alternative go-betweens.
'Trump blinked'
On a day of whiplash developments, Iran's neighbours breathed a sigh of relief after Trump stepped back from his threat to target Iranian power infrastructure.
Tehran had vowed to deploy naval mines and target power and water infrastructure across the region in retaliation, threatening to escalate an energy crisis of already historic proportions.
"Trump blinked first – out of a clear understanding that striking Iran's energy infrastructure would trigger a direct and significant retaliation," Danny Citrinowicz, a security analyst and former Israeli intelligence Iran expert, wrote on X.
Trump said his Administration was holding talks with an unidentified "top person" but not the country's Supreme Leader Mojtaba Khamenei, who is believed to be injured.
"We've wiped out the leadership phase one, phase two, and largely phase three. But we're dealing with the man who I believe is the most respected and the leader," Trump said.
He described the individual as "very reasonable", while warning if talks failed in the next five days, "we'll just keep bombing our little hearts out".
Thousands of US Marines are headed to the Middle East, reinforcing America's presence amid weekend speculation Trump was mulling ground operations either to seize Iranian oil assets or to forcibly reopen the Strait of Hormuz.
'Major threat' to economy
Since the war erupted, Tehran has retaliated against US-Israeli attacks by throttling traffic through the Strait, a conduit for one-fifth of global crude, and by hitting Gulf energy sites and US embassies as well as targets in Israel.
International Energy Agency chief Fatih Birol warned if the war is protracted, daily oil losses would pave the way for a crisis worse than the combined impact of both 1970s oil shocks and Russia's invasion of Ukraine.
"The global economy is facing a major, major threat today, and I very much hope that this issue will be resolved as soon as possible," he said in Australia.
Oil prices have been driven above US$100 a barrel by the conflict, but they tumbled sharply after Trump's announcements, while European stocks rebounded.
International benchmark Brent crude plunged around 12% to US$98.95 per barrel.
British Prime Minister Sir Keir Starmer told a parliamentary committee that he welcomed "the talks reported between the US and Iran" – adding London was "aware" of discussions.
Trump said there were already "major points of agreement" with the Iranian negotiators.
US conditions included Iran abandoning any nuclear ambitions and giving up its enriched uranium stockpiles, he said.
Since the war began on February 28, Trump has reiterated his goal of regime change and raised installing a pro-Western figure from inside Iran's governing system.
– AFP
Watch: US forces continue to strike Iran
Vera Alves
US Central Command said its forces had conducted more than 9000 strikes in Iran since the war started on February 28.
This included damaging or sinking more than 140 Iranian naval vessels.
– Daily Telegraph UK
UN Security Council weighs resolution on use of force in Hormuz
Vera Alves
The UN Security Council is negotiating on a draft resolution introduced by Bahrain to authorize states to use "all necessary means" to ensure freedom of navigation in the Strait of Hormuz, diplomatic sources said on Monday (local time).
The draft text, seen by AFP, also demands that Iran "immediately cease all attacks against merchant and commercial vessels and any attempt to impede lawful transit passage or freedom of navigation" in and around the Strait.
Just a trickle of cargo ships and tankers, most of them Iranian, have made it through the Strait since Iran effectively blocked it in response to US-Israeli attacks on the country that began three weeks ago.
Normally, about a fifth of global crude oil and liquefied natural gas pass through the Strait.
The draft resolution proposes allowing member states "to use all necessary means" – including within the territorial waters of littoral states within or bordering the strait – "to secure transit passage and to repress, neutralize and deter attempts to close, obstruct or otherwise interfere with international navigation" there.
The draft also threatens targeted sanctions against those who "undermine navigational rights and freedoms" in the Strait.
The resolution text could be modified during the negotiations among member states in the 15-member council, the UN's highest decision-making body.
Its chances of approval by the council, where the five permanent members have veto power, remain unclear.
Bahrain, acting on behalf of the Gulf states, was behind a resolution adopted by the council in mid-March that demanded the "immediate cessation" of Iranian attacks against the Gulf states and Jordan.
– AFP
Air New Zealand cancels four Samoa flights, cites rising jet fuel costs
Vera Alves
Rising fuel costs are being blamed for the cancellation of several Air New Zealand flights to Samoa.
Kiwis warned to check car warranties
Vera Alves
Kiwis should check if their car warranties will still be compliant with the change of fuel regulations, a professor of sustainable energy and climate mitigation says.
Yesterday, the Government announced it would allow fuel that meets Australian criteria into the New Zealand market.
Massey University emeritus professor of climate mitigation Ralph Sims said that although the fuel standards between New Zealand and Australia are similar, it would still pay to check your car warranty to confirm it "will still maintain if you do have a fuel change".
'Promising sign': Fuel prices levelling out, Gaspy director says
Vera Alves
Fuel prices are beginning to level out, which is a "promising sign", Gaspy director Mike Newton says.
"There's a big drop in crude oil overnight as well, so maybe we can see more of that," he told Ryan Bridge TODAY.
The Mangawhai Gull is the cheapest station in the country again, with stations at Hāhei in Coromandel and Dommett in Canterbury following behind.
Ōtara remains the cheapest place to fill up in Auckland, he said.
Israel targets main security HQ of Iran’s Guards
Vera Alves
The Israeli military said that it had carried out a fresh round of strikes “in the heart of Tehran”, including targeting the “main security headquarters” of the Islamic Revolutionary Guards Corps.
US Central Command also said that US forces had continued to “aggressively strike Iranian military targets”.
– Daily Telegraph UK
Trump facing problems back home as he fights Iran
Vera Alves
Political commentator Danielle McLaughlin says United States President Donald Trump is facing political challenges at home as the war in Iran goes on.
As midterm elections loom, Trump is "trying to balance here the things he told the American public he would achieve going into this war, and also how to get out of it with something actually to show for it", McLaughlin told Ryan Bridge TODAY.
Increasing costs, especially petrol prices, in the US are proving "domestically very problematic for Trump", she said.
The challenge for the President will be whether he can deliver on the short war he promised and regime change in Iran.
"He went in saying 'we're going to be in for four to six weeks, we're going to be out by summer, we're going to achieve what we need to achieve, we're going to get rid of their ICBMs [intercontinental ballistic missles], we're going to bring this regime to its knees'.
"His own intelligence, known by all Americans who read the newspaper, has very explicitly said that Iranians do not have the will or the ability to actually rise up against the Iranian regime. So he's trying to sell this war on the idea of regime change, knowing full well that it's actually not possible."
Israeli strike hits Beirut's southern suburbs after warning: state media
Vera Alves
An Israeli strike hit Beirut's southern suburbs, state media reported, hours after the Israeli army issued a warning for residents of the area to evacuate.
AFPTV's live broadcast showed a cloud of smoke over the southern suburbs, which are considered a Hezbollah stronghold and have not been hit since Friday night (local time).
– AFP
Netanyahu says spoke with Trump, vows to protect Israel's interests
Vera Alves
Israeli Prime Minister Benjamin Netanyahu said he spoke with Donald Trump on Monday (local time), saying that the US President believed US-Israeli military gains in Iran could be converted into a negotiated agreement that protected Israel's interests.
"President Trump believes there is a chance to leverage the tremendous achievements of the IDF [Israel Defence Forces] and the US military in order to realise the war's objectives in an agreement – an agreement that will safeguard our vital interests," Netanyahu said in a video statement.
"We will protect our vital interests under any circumstances," he said, adding: "At the same time, we continue to strike both in Iran and in Lebanon."
– AFP
Govt 'raking in hundreds of millions' extra in fuel taxes, should be helping people – Hipkins
Vera Alves
Labour leader Chris Hipkins says the Government should be looking at encouraging people to work from home and making public transport cheaper amid rising fuel costs.
He told Ryan Bridge TODAY that the Government could use its increasing GST take from higher fuel costs to invest in schemes to help people.
"They are literally raking in hundreds of millions of dollars extra because of the increase in fuel prices," Hipkins said.
"I'm saying if you give some of that money back to people, that's going to be a good thing and it's going to help people through what is a really big shock for a lot of household budgets."
The Government should consider spending the higher GST take on discounted public transport fares, Hipkins said.
It should also look into encouraging people to lower their own costs.
"The Government can certainly be showing some leadership and saying to people if you can reduce your costs by working from home, then you should be encouraged to do that."
'We're at the end of the railway track': Shane Jones on why NZ and Australia need to align on fuel standards
Vera Alves
New Zealand aligning with Australia on fuel standards could allow both countries to work together in an Anzac-type arrangement regarding fuel supply, Associate Minister Shane Jones says.
“There's about 30 million of us in Australasia and we're at the end of the railway track,” he told Newstalk ZB’s Mike Hosking Breakfast.
“The Prime Minister has been talking with the Australian Prime Minister and in the event we need to act more robustly on the supply side, then it's better that we do it together.”
He gave the example of a 120 million-litre carrier bringing fuel to Australia, which could also drop some fuel off in New Zealand if standards were aligned.
Jones said he would be seeking support from Cabinet to make harmonisation permanent between the two countries.
However, New Zealand would not be signing off on higher fuel sulphur content – despite Australia doing so – until officials knew whether it could damage new European emissions-compliant engines in New Zealand.
Even once the Iran conflict had ended, New Zealand needed to rethink how it dealt with fuel “both from a public trust point of view, national security point of view, and economic resilience”, Jones said.
US advises its citizens in Oman to shelter in place
Vera Alves
The US has advised all its citizens in Oman to shelter in place “due to ongoing activity".
A security alert from the US Embassy in Muscat advised Americans to “find a secure location within your residence or another safe building. Have a supply of food, water, medications, and other essential items”.
It added: “In case of an attack, stay away from any debris, and monitor news outlets for official guidance.”
The warning suggests an Iranian attack on Oman could be likely. The Gulf state has come under fire from Iran since the start of the conflict on February 28, including targeting the Port of Duqm, where the UK has a major military base.
– Daily Telegraph UK
High fuel prices to stay even after war ends
Vera Alves
Even if the war in Iran ends this week there will be disruption and high fuel prices, ASB chief economist Nick Tuffley warns.
Oil prices dropped overnight after US President Donald Trump called off plans to attack Iran’s power plants and claimed he was in talks with Iranian officials to end the war.
But Tuffley told Newstalk ZB’s Mike Hosking Breakfast that ASB didn’t see oil prices returning to where they were before the war started.
“You've just got that global supply chain which needs to untangle itself and you've got actual damage that has happened to some of the facilities,” he said.
“We don't know quite what damage has been done to some of the refining capacity in the Middle East where there's been a lot of diesel and jet fuel coming through from there as well.
“But you're also likely to have a lot more focus on getting security of supply and that doesn't necessarily mean that we'll be depending as much on Middle Eastern fuel, we'll be wanting to try and get it from somewhere else.”
Govt advised that relaxed fuel importation standards will not damage vehicles
Vera Alves
Associate Energy Minister Shane Jones says the relaxed fuel importation standards will broaden the range of sources New Zealand can draw from.
Yesterday, the Government announced it would allow fuel that meets Australian criteria into the New Zealand market. "If a 120 million-litre tanker comes to Australia and our fuel specs are now harmonised with Australia, we'll have the option of bringing some of that fuel here.
"We chew through 24 million litres, a milk run tanker does about 60, 70 million litres, and the big tankers do about 120 million litres. So you can do the maths yourself," Jones told Ryan Bridge TODAY.
The Government had been advised that the fuel would not cause damage to vehicles.
Jones said he would take advice on making the fuel standard change permanent.
Diesel 'really big concern' for New Zealand and Australia
Vera Alves
The Government’s lowering of New Zealand’s fuel quality standards to match Australia’s won’t automatically give us access to more oil – the shipments still have to be available, a refined oil expert says.
Many other countries have also reduced their standards, Macquarie University senior lecturer Lurion De Mello told Newstalk ZB’s Mike Hosking Breakfast.
Australia’s Government is also allowing more sulphur in fuel, but New Zealand won’t match that and says it won’t allow “dirty fuel”.
However, neither Government has been very transparent about what it means by relaxing the standards, De Mello said.
He said panic buying was still rampant in Australia, with around 150 petrol stations without fuel yesterday.
The biggest problem was distribution and fuel hoarding. It appeared to be a bigger problem in Australia than New Zealand, but diesel was a “really big concern” for both countries, despite Government reassurances.
Petrol prices have jumped more than 30% in some US states in two weeks
Vera Alves
With no immediate resolution to the conflict in sight, it’s unclear how long the elevated prices will last, or just how high they might go.
The strait’s closure has revealed Hormuz for what it is – one of the world’s great bottlenecks
Vera Alves
The world is too dependent on the enormous amount of oil, gas and fertiliser that is exported through the waterway.
Two more India-bound tankers cross Strait of Hormuz: shipping ministry
Vera Alves
Two more Indian-flagged tankers carrying liquefied petroleum gas (LPG) passed through the Strait of Hormuz on Monday, India's Shipping Ministry said, marking a fresh set of exceptions in the chokepoint disrupted by the Middle East war.
Tehran, following US-Israel military strikes, has all but halted maritime traffic in the Strait of Hormuz, through which about a fifth of global crude oil and liquefied natural gas (LNG) normally pass.
Jag Vasant and Pine Gas, carrying LPG about 92,000 metric tonnes combined, are likely to reach Indian ports between March 26 and 28, the ministry said in a statement.
Two other Indian LPG tankers had earlier transited through the strait.
India is the world's fourth-largest buyer of LNG and second-largest buyer of LPG, which is used for cooking and predominantly sourced from the Middle East.
As supplies dwindle, New Delhi has ordered tighter controls over natural and cooking gas following import disruptions.
Earlier on Monday, Prime Minister Narendra Modi said New Delhi was in close contact with allies to safeguard supply chains hit by the war.
India maintains strong relations with Tehran but has steadily expanded co-operation with Israel across the defence, agriculture, technology and cyber security sectors.
"Our effort is to ensure that ships carrying oil, gas, fertilisers and other essential supplies reach India safely," Modi told Parliament.
"India has opposed attacks on civilian energy transport infrastructure. Attacks on commercial ships and waterways like the Strait of Hormuz are unacceptable."
– AFP
Financial markets expected to lift when they open today
Vera Alves
Financial markets will begin to lift when they open today, predicts Craigs Investment Partners' head of private wealth equities.
Mo Singh told Herald NOW Business with Garth Bray that the oil price had come down following United States President Donald Trump saying he would postpone strikes on Iran for five days.
"In New Zealand, the primary sector is still really strong. If we do get a bit more of an escalation, that currency being a bit weaker gives a bit of a buffer, and it helps our exports."
If oil prices stay well above US$100 for months and months, it will create issues, said Singh.
"But you'll see the big relief valve today in terms of equity markets, and I expect New Zealand, when it opens, will start to lift as well."
Govt's fuel relief package to help those in 'the absolute most acute need' – Seymour
Kendall Russell
Deputy Prime Minister David Seymour says the Government has made no commitment to sending support to the Strait of Hormuz, but that it remains open to the idea.
"The only position that New Zealand has taken publicly was in the statement that we jointly signed with the British and a number of other countries towards the end of last week," Seymour told RNZ's First Up.
"We've stated that we'd certainly like this to happen and that we're open to doing it, but as far as any kind of specific commitment, we certainly haven't made that at this point," he said.
Seymour said the fuel relief package, set to be announced today, will provide support to those in "the absolute most acute need" while limiting long-term consequences.
"The biggest thing that the Government needs to do is ensure the country's economic credibility so that borrowing rates don't go up for everybody, so that there is a stable economic environment, because things could be made much worse by a Government that goes overboard."
Good officials looking at alternative fuel options – Transporting NZ CEO
Kendall Russell
New Zealand is "a long way" from having to get Australian fuel, but it's good that officials are looking at alternative options, Transporting New Zealand chief executive Dom Kalasih says.
The Government yesterday moved to temporarily lower fuel quality specifications to match Australia's, allowing access to a broader range of imports. However, New Zealand would not currently be following Australia's lead by allowing fuel with higher sulphur levels.
Higher sulphur content would have required engine management systems to be adjusted to deal with harmful emissions, Kalasih told Newstalk ZB's Ryan Bridge Early Edition.
"We were asked by officials about our view on what needed to happen with the sulphur content and we've said, look, just stick with the New Zealand standard."
New Zealand and many other countries moved to low sulphur fuel because it was better for the environment, Kalasih said.
Fuel prices continue to climb in Australia
Kendall Russell
Australia's fuel prices continue to climb with dozens of east coast service stations getting low on fuel and some running dry, Australia Newstalk ZB correspondent Lesley Yeomans says.
The country's Parliament heard yesterday that six fuel ships that were expected to deliver oil over the next month had been cancelled. Others were coming via the Gulf of Mexico, Yeomans told Newstalk ZB's Ryan Bridge Early Edition.
One minister had warned that petrol could reach A$4 a litre, while it was getting even higher in the regions.
"We've got farmers and and food producers and transport people ... crying foul because if they can get fuel, it's just going to skyrocket," Yeomans said.
"We're also being told not to panic-buy, which is great in theory but a lot of people aren't listening."
TotalEnergies CEO predicts 'very high' LNG prices in future if Strait of Hormuz not reopened
Kendall Russell
TotalEnergies chief Patrick Pouyanne has said that he expected "very high" prices of liquefied natural gas (LNG) by the summer if the Strait of Hormuz – closed by Iran due to the war – was not reopened.
"If the Strait of Hormuz is not open again, I can predict a very high price for LNG by summer and September, when we are refilling the gas storage in Europe," the French executive said at the annual CERAWeek energy conference in Houston.
"The consequence is not only high energy prices, it would damage also other economies, for example, supply chain."
– AFP
Explosions, sirens ring out in Bahrain
Kendall Russell
Several strong explosions and air alert sirens have rung out in Bahrain, according to an AFP journalist, the first to be heard in the Gulf since US President Donald Trump said talks to end the war with Iran were underway.
"Citizens and residents are urged to remain calm and head to the nearest safe place," Bahrain's Interior Ministry said on social media.
– AFP
Iran's Foreign Ministry denies talks with US
Kendall Russell
Iran's Foreign Ministry has said that it had received messages through "friendly countries" about a request from the United States for talks, but denied any such negotiations had taken place since the start of the war.
"Over the past few days, messages were received through some friendly countries indicating a US request for negotiations aimed at ending the war," Foreign Ministry spokesman Esmaeil Baqaei said, according to the official IRNA news agency.
However, he "denied any negotiations or talks with the United States during the past 24 days of the imposed war".
– AFP
Trump calls off Iran strikes and announces 'very good' talks
Kendall Russell
US President Donald Trump has shelved plans to attack Iran's power plants in a stunning about-turn sparked by what he said were "very good" talks with unidentified Iranian officials to bring an end to the war.
The reversal came ahead of a Monday night ultimatum for the Islamic Republic to reopen the Strait of Hormuz shipping lane – or see Trump "obliterate" its power plants.
With observers scrambling to interpret the latest statements from the US leader, oil prices fell and stocks markets jumped, even though Iran denied that any talks were underway.
Trump said his administration was discussing with an unidentified "top person", but not the country's Supreme Leader Mojtaba Khamenei, who is believed to be injured.
"We've wiped out the leadership phase one, phase two, and largely phase three. But we're dealing with the man who I believe is the most respected and the leader," Trump told reporters in Florida.
He described the individual as "very reasonable," while warning that if the talks failed, "we'll just keep bombing our little hearts out".
In Iran, media outlets quoted the foreign ministry denying any talks and suggesting Trump was angling to bring down energy prices sent soaring by the war – with no mention of his claim on state television's latest news bulletin.
In a post on his Truth Social site, Trump said he had told the Pentagon to "postpone any and all military strikes against Iranian power plants and energy infrastructure for a five day period, subject to the success of the ongoing meetings".
Trump's threat to bomb Iran's power infrastructure had raised fears of a major escalation that could have seen the conflict expand again, with huge consequences for Gulf countries that host US forces.
In response, Iran had threatened to deploy naval mines in the Gulf and target power plants across the region – ramping up its rhetoric after warnings the world faced an energy crisis of historic proportions if the US-Israeli war with Iran drags on.
– AFP
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