The U.S. Central Command (CENTCOM) announced on September 1, 2026, that U.S. forces had begun striking Islamic Revolutionary Guard Corps (IRGC) targets inside Iran at 12 p.m. ET, in response to recent IRGC attempts to attack commercial ships in the Strait of Hormuz and threaten U.S. service members. The rare direct strike on Iranian soil represents a significant escalation in U.S.-Iran tensions. The conflict has seen prior incidents, including a U.S. airstrike on a small island in the Strait of Hormuz and an Iranian retaliation on a U.S. base in Jordan. Additionally, Iranian state media reportedly threatened the life of former President Trump's son, Barron Trump, prompting a U.S. Secret Service investigation. Related developments include Trump's announcement of severe sanctions on Iran, the delay of the Trump family's WLFI token sale due to the conflict, Trump's proposal to claim the Strait of Hormuz as U.S. territory, and a U.S. helicopter attack on a vessel in the Gulf of Oman. The global economy and financial markets may face increased volatility amid the rising geopolitical tensions.

After nearly six months of confrontation, the latest US-Iran flare-up broke a month-long lull on Aug. 30 and quickly spilled into global markets. US Central Command said American forces struck Iranian rocket launchers on Larak Island, with spokesperson Tim Hawkins saying the Islamic Revolutionary Guard Corps was preparing to lay naval mines in the Strait of Hormuz. Iran’s state media then said Tehran fired missiles at US bases in Jordan in retaliation, while the IRGC claimed an oil tanker trying to pass along the southern edge of the strait was hit by two mines. The exchange drew attention because it interrupted Washington’s recent shift away from direct military action and toward sanctions and maritime pressure. That shift had helped the market view the standoff as more of an economic squeeze than an immediate supply shock, contributing to a drop of more than 5% in Brent over the prior week. On Aug. 31, Donald Trump added another twist by posting what was described as a likely AI-generated video on Truth Social claiming Iran’s Kharg Island oil export hub had been "blown to pieces." Iranian oil officials dismissed the claim, and CENTCOM did not confirm any strike on the island. Brent later settled at about $90.69 a barrel, up 2.93% on the day, while US stocks fell and energy shares advanced.

The United States has paused a new round of attacks on Iran after military officials concluded the campaign had reached its "maximum effective" point, according to International Business Times. President Donald Trump is now leaving room for diplomacy tied to a ceasefire and the reopening of the Strait of Hormuz, a key artery for global oil shipments. Since last Friday, the report said, the US has not launched fresh attacks on Iran, while Tehran has also shown restraint by halting military action against other Gulf countries. CENTCOM chief Brad Cooper said nearly two weeks of intensive strikes had significantly weakened Iran’s military capability around the Strait of Hormuz. Joint Chiefs Chairman Gen. Dan Caine also warned that US interceptor missile stockpiles were being depleted. US Ambassador to the United Nations Mike Waltz said the pause was meant to "give diplomacy some space," while CBS News reported substantive progress in talks involving Iranian officials and Oman. At the same time, the US and UK are preparing for a high-level meeting in London on a potential international coalition to secure navigation through the strait.

Trump has told mediators he will not accept talks with Iran lasting beyond 60 days, while Tehran wants three months for nuclear details. Military exchanges between the US and Iran escalated three times from June 1 to June 5.

Bitcoin briefly dropped below $70,600 after news of a US move to block the Strait of Hormuz hit risk assets. CoinGlass data showed $283.35 million in liquidations over 24 hours, with longs accounting for $203.01 million.

The US naval blockade on Iranian ports took effect on April 13 evening, targeting only Iran-bound shipping. Strait transit counts drop sharply; WTI crude sits at $101. Reports emerge of Iranian officials studying uranium enrichment suspension in exchange for ending the war.

The US and Iran have put the Islamabad MoU into effect, ending active hostilities, lifting the naval blockade and opening Hormuz. WTI fell below $74, while the next round of US-Iran talks in Switzerland has been delayed.

Tasnim, an Iranian state media outlet linked to IRGC, released a video backing Iravani's demand for lifting the naval blockade before talks. Markets bet on diplomatic resolution: gold and silver rose, BTC gained 3.19% to $78,389, while the dollar and crude oil fell.