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At a Pentagon briefing, Defense Secretary Pete Hegseth asserted that Iran’s request for a temporary cease‑fire was a direct result of the United States’ intensive air campaign, which he described as having reduced Iran’s weapons factories to rubble and rendered its military ineffective for years to come. Hegseth, standing beside Joint Chiefs Chairman Dan Caine, said the final wave of strikes before President Donald Trump announced a two‑week pause had completely destroyed Iran’s defense industrial base. While Iran can still fire from existing stockpiles, it can no longer replace lost munitions, according to the secretary. President Trump posted on Truth Social that he had agreed to suspend hostilities less than two hours before his self‑imposed deadline to “decimate the entirety of Iranian civilization.” The decision followed a last‑minute diplomatic push by Pakistan’s Prime Minister Shehbaz Sharif and army chief Gen Asim Munir. Iran’s foreign minister Abbas Araghchi confirmed Tehran’s acceptance of the pause, and the country’s supreme national security council announced it would send a delegation to Islamabad for formal talks starting Friday. Both sides claimed victory: Iran’s security council said it had achieved “nearly all the objectives of the war,” while the United States highlighted the crippling of Iran’s military capabilities. The cease‑fire ends a conflict that began on 28 February, when the U.S. and Israel launched nearly 900 strikes in a 12‑hour window against Iranian military infrastructure, missile sites, and leadership. The opening day saw the death of Supreme Leader Ali Khamenei, with his son Mojtaba Khamenei named successor on 8 March. Hegseth warned that the United States had prepared additional strikes on Iran’s power plants, bridges and energy infrastructure—targets he said Iran could not defend or rebuild for decades—if Tehran had refused the pause. According to Joint Chiefs Chairman Caine, 13 U.S. service members were killed during the fighting. Total casualties across the region exceed 5,000, including over 1,600 Iranian civilians and at least 1,497 deaths in Lebanon. By the sixth day of the war, U.S. military spending had reached roughly $12.7 billion, with a pending supplemental request of $200 billion before Congress. The future of a lasting settlement remains uncertain. Trump later announced that Iran would hand over its enriched uranium and cease all enrichment activities, while Iran’s supreme national security council released a 10‑point counter‑proposal that explicitly demands the right to continue enrichment. Disagreements also persist over the cease‑fire’s scope. Israel maintains that the pause does not apply to Lebanon, where ground and air campaigns are at their most intense since Israel’s northern invasion. Both Pakistan and Iran, however, have stated that Lebanon is included in the cease‑fire. Subsequent reports indicated Iranian missile and drone attacks on Kuwait and the United Arab Emirates, as well as strikes on Iran’s oil infrastructure on Lavan Island. Iran’s supreme national security council warned that its forces remain on high alert, stating, “our hands are on the trigger, and any mistake by the enemy will be met with full force.” When asked about the long‑term U.S. presence in the region, Hegseth replied unequivocally: “We’re not going anywhere.”

Anthropic, a San Francisco-based AI startup, has announced that its latest AI model, Claude Mythos, has proven highly effective in exposing software weaknesses. The model has identified thousands of vulnerabilities in commonly used applications, many of which have no patch or fix available.According to Mike Krieger of Anthropic Labs, the company has decided not to release Mythos to the public due to concerns about its potential misuse by hackers. Instead, Anthropic is collaborating with cybersecurity specialists and engineers in the open-source community to utilize the model as a defensive tool.The oldest vulnerability uncovered by Mythos dates back 27 years, and none were previously noticed by their creators. Anthropic has shared a version of Mythos with cybersecurity companies CrowdStrike and Palo Alto Networks, as well as with Amazon, Apple, and Microsoft, in a project dubbed “Glasswing”.“AI models have reached a level of coding capability where they can surpass all but the most skilled humans at finding and exploiting software vulnerabilities,” Anthropic said in a blog post. “The fallout – for economies, public safety, and national security – could be severe.”The project aims to protect critical infrastructure from cyber threats, with approximately 40 organizations involved in the design, maintenance, or operation of computer systems. Anthropic is providing about $100m worth of computing resources for the mission.

British Prime Minister Keir Starmer told reporters that the United Kingdom has a "job" to assist in reopening the Strait of Hormuz after reports that the vital oil corridor was blocked again just hours after a tentative cease‑fire was announced. The leader arrived at the King Fahd airbase in Taif, Saudi Arabia, where he met with British and local staff before embarking on a broader diplomatic tour of Gulf allies. The visit mirrors his recent push to shape a cease‑fire framework for Ukraine. While officials describe the trip as complementary to the Pakistan‑mediated talks between Washington and Tehran, many Gulf observers see Starmer as a more predictable partner than a United‑States administration that has been criticised for its unpredictable stance. The cease‑fire, brokered barely an hour before a deadline set by the U.S. president, included a clause to reopen Hormuz. Starmer’s itinerary follows a UK‑led gathering of military planners that explored practical steps for achieving that goal. Iran’s state news agency, Fars, claimed that Israeli actions in Lebanon breached the cease‑fire, prompting a fresh blockage of oil tankers in the strait. Later on Wednesday, Starmer is scheduled to meet Crown Prince Mohammed bin Salman. Their agenda is expected to cover the removal of Iranian mines and the insurance of tankers that rely on the Hormuz route for global oil shipments. "There are many practicalities and moving parts involved; this cannot be switched on instantly," a UK official explained, underscoring the complexity of the task. Addressing the media at the airbase, Starmer acknowledged the temporary relief provided by the cease‑fire but warned that the situation remains in its early stages. He emphasized that the UK’s priority is a permanent solution that restores full maritime traffic. "The impact on our energy prices is evident – we have seen daily fluctuations over the past 39 days. It is our responsibility to ensure the strait remains open so that the world’s energy needs are met and UK fuel prices stabilise," he said. Starmer has previously drawn criticism from former President Donald Trump for refusing to back the initial U.S.–Israeli strike on Iran and for limiting U.S. use of British bases to defensive missions, such as targeting Iranian missile sites. When asked about the risk of the UK becoming entangled in the conflict, Starmer reiterated that Britain acts only in collective self‑defence and that his mandate is to protect British lives and national interests, which includes keeping Hormuz open. The remainder of his Gulf itinerary has not been disclosed, and it remains unclear which other regional capitals he will visit after Saudi Arabia. One government source summed up the mission: "The cease‑fire is welcome, but the decisive factor for the British public will be a fully operational Hormuz Strait, which will have the greatest impact on domestic energy costs." The source likened Starmer’s role to his earlier effort in assembling the "coalition of the willing" that pledged to back any peace settlement in Ukraine, noting that this is his first opportunity to demonstrate solidarity with Middle‑East allies.

Oil markets experienced a dramatic correction on Wednesday, with Brent crude falling 13.9% to $94.10 per barrel and U.S. WTI futures sliding almost 16% to $95, marking the steepest daily percentage drop since the COVID‑19 crash of April 2020. Despite the plunge, prices remain well above pre‑conflict levels, when Brent traded below $73.The price shock followed President Donald Trump's announcement of a two‑week, conditional ceasefire with Iran, contingent on Tehran reopening the strategic Strait of Hormuz for oil tankers. Iran’s foreign minister, Abbas Araghchi, confirmed the strait would be managed by the Iranian military during the grace period, while Iran’s national security council accepted the ceasefire on the condition that U.S. attacks be halted.Equity markets reacted positively. The pan‑European Stoxx 600 surged 4%, its biggest one‑day gain in over four years. In the UK, the FTSE 100 climbed nearly 3% to 10,646 points, its highest level since the early days of the Iran war. Travel and leisure stocks led the rally, with Air France up 14.5%, Lufthansa +11%, IAG +9.5% and TUI +12%.Oil majors were the notable laggards; BP and Shell each lost more than 5% as investors priced in continued supply uncertainty. Asian markets also posted strong gains: Japan’s Nikkei 225 rose over 5%, Australia’s S&P;/ASX 200 jumped 2.55%, South Korea’s Kospi surged 7.5%, Hong Kong’s Hang Seng added 3.1% and China’s CSI300 climbed 3.2%.Bond yields eased on the ceasefire news. The U.S. 10‑year Treasury yield fell to 4.24% from 4.30%, while the UK 10‑year gilt slipped to 4.7% from 4.9%.Safe‑haven assets rallied as well: gold rose more than 2% to $4,812 per ounce, and cryptocurrencies recovered, with Bitcoin up 2.9% to $71,327 and Ether gaining 5.6% to $2,234.Market strategists emphasized the provisional nature of the relief. Jim Reid, Deutsche Bank markets strategist, warned that “investors will be breathing a big sigh of relief, but the durability of the ceasefire remains the key risk.” He noted ongoing Israeli‑Iran strikes and unclear extensions to Lebanon could reignite volatility.Energy analyst Saul Kavonic (MST Financial) described the pause as “an off‑ramp for Trump’s bombastic ultimatum, but not yet an off‑ramp for oil markets or the war.” He expects a limited release of tankers from Hormuz in May, which would ease storage pressure without boosting production.Capital Economics chief economist Neil Shearing highlighted potential transit fees for Hormuz passage, estimating a $1‑2 million charge per tanker—equivalent to roughly $1 per barrel—would have a modest effect on global oil prices but could signal a de‑facto partial nationalisation of the route.TD Securities senior strategist Prashant Newnaha cautioned that “renewed escalation cannot be ruled out, but markets are treating this ceasefire as the real deal, and all parties will sell it as a major win.” He added that oil prices are unlikely to revert to pre‑war levels, keeping inflationary pressures alive.Earlier in the week, U.S. equities swung sharply, with the S&P; 500 dipping 1.2% before rebounding after Pakistan’s prime minister urged Trump to extend the deadline and keep the strait open.The conflict, which began after the U.S. and Israel struck Iranian targets in late February, has choked the Strait of Hormuz—through which about 20% of global oil and LNG supplies flow—fueling a worldwide energy crunch.

Israel has reaffirmed that its military operations in Lebanon will persist, defying US President Donald Trump's ceasefire announcement aimed at Iran. The Israeli military has continued to carry out strikes in Lebanon, with civilians in southern Lebanon being told to move north of the Zahrani River.The office of Israeli Prime Minister Benjamin Netanyahu emphasized that Trump's two-week pause in military action against Iran does not include Lebanon. This stance directly contradicts statements made by Iran and Pakistan, which has been mediating in the conflict.Pakistan's Prime Minister Shehbaz Sharif had announced that Iran, the US, and their allies had agreed to an immediate ceasefire everywhere, including Lebanon. However, Israel maintains that its conflict with Lebanon, particularly with Hezbollah, is separate.On Wednesday morning, an Israeli military spokesperson confirmed that operations against Hezbollah were ongoing. The military also issued a warning in Arabic to people in Tyre to move away from a building, a common precursor to an airstrike in a populated area.The conflict in Lebanon has resulted in over 1,500 deaths, many of them civilians, and has displaced more than 1.1 million people, with many living on the streets. The situation remains volatile as Hezbollah is expected to issue a formal statement outlining its position on the ceasefire and Netanyahu's assertion that Lebanon is not included in the agreement.

Shell is poised to report a substantial increase in profits from its commodity trading activities in the first quarter, driven by recent market volatility sparked by the Iran crisis. The energy giant's chemicals and products unit, which encompasses its primary oil trading desk, is expected to see a significant boost in trading results.The company's trading windfall is particularly notable in its renewable energy division, with predicted earnings ranging from $200m to $700m in the first quarter, up from approximately $100m in the previous quarter. This surge is attributed to the historic price rises in oil and gas markets following Iran's retaliation to US-Israeli aggression, which included throttling energy trade through the Strait of Hormuz and launching strikes against key energy infrastructure in the Gulf region.However, Shell's gas production is expected to decline by about 5% to between 880,000 and 920,000 barrels of oil equivalent per day, compared to 948,000 in the fourth quarter, due to the impact of the Middle East conflict on its assets in Qatar. A strike damaged Shell's assets at the Ras Laffan liquified natural gas (LNG) complex in Qatar, contributing to the expected decline.Despite these challenges, Shell's boss, Wael Sawan, has warned that Europe could face an energy and fuel shortage in April without a reopening of the Strait of Hormuz. The company is working with governments to address the oil and gas supply crisis, which has already led to energy rationing in some Asian countries.

Prime Minister Anthony Albanese has welcomed a two-week ceasefire deal between the US and Iran, describing the news as 'very positive' and expressing hope it would lead to a permanent end to the conflict that has driven up global fuel prices. The ceasefire agreement was announced just before Trump's self-imposed deadline for Iran to surrender or face widespread destruction, including the bombing of bridges and power plants. Trump had warned that 'a whole civilization will die tonight, never to be brought back again.' In an interview with Sky News, Albanese criticized Trump's threat to destroy civilian infrastructure, calling it an 'extraordinary statement to make'. He emphasized that the conduct of any conflict must be within international law, which protects civilians. The Nationals leader, Matt Canavan, had urged Albanese to make clear to the US that Australia wouldn’t support Trump’s threat of widespread bombings. Albanese has avoided criticizing Trump's inflammatory language in the past but took a firmer stance this time. The two-week ceasefire, facilitated by Pakistan, allows for safe passage through the strategic Strait of Hormuz, a crucial shipping lane that Iran had effectively closed in retaliation for US and Israel strikes. In a joint statement, Albanese and Foreign Affairs Minister Penny Wong welcomed the ceasefire and called for the agreement to be upheld and the conflict resolved. They highlighted that Iran's closure of the Strait of Hormuz has caused unprecedented energy supply shocks and impacted oil and fuel prices. Albanese's comments mark a rare instance of criticism from a world leader against Trump's aggressive rhetoric. The development underscores the significant global economic implications of the conflict and the efforts to de-escalate tensions.

Arsenal bounced back from their recent domestic struggles to secure a vital 1-0 win against Sporting Lisbon in the Champions League quarterfinals. Kai Havertz scored the decisive goal in stoppage time, capitalizing on a superb pass from Gabriel Martinelli to beat the offside trap and slot past Sporting goalkeeper Rui Silva.The Gunners arrived at the Jose Alvalade Stadium reeling from successive defeats to Manchester City in the League Cup final and Southampton in the FA Cup quarterfinals. Despite a lackluster performance, Arsenal's resilience and Havertz's clinical finish earned them a crucial victory.Mikel Arteta's side will be favorites to advance to the semifinals in the second leg at home on April 15. However, they will need to significantly improve their form to win the tournament for the first time. Arsenal's Premier League title hopes remain strong, with the team sitting nine points clear of second-placed Manchester City.Sporting Lisbon, seeking their first Champions League semifinal spot since 1983, were unable to capitalize on their 17-game home winning streak. The hosts created several chances, including a fierce strike from Maxi Araujo that David Raya tipped onto the crossbar and a low drive from Geny Catamo that Raya smothered.Arsenal's injury-hit squad was still without several key players, including Jurrien Timber and Bukayo Saka. However, the team's depth and Arteta's tactical acumen ultimately paid off, as they secured a hard-fought win in Lisbon.

Iran has warned that Saudi Arabia and the United Arab Emirates could become new targets if the United States proceeds with attacks on Iranian civilian infrastructure, according to a statement cited by the Tasnim news agency. The warning came late on Tuesday, as U.S. President Donald Trump issued an ultimatum demanding Iran reopen the Strait of Hormuz by 00:00 GMT (3:30 a.m. Tehran time) on Wednesday, threatening to "destroy a whole civilisation" if the demand is not met. Closing the strategic waterway would further destabilise the global oil market, already rattled by the ongoing blockade of Gulf oil exports. In response, Iran’s First Vice President Mohammad Reza Aref affirmed the country’s readiness for any scenario, stating on X that national security and infrastructure sustainability have been meticulously calculated and that “no threat is beyond our preparedness and intelligence.” Meanwhile, U.S. forces intensified strikes on Iranian targets, hitting railway and road bridges, an airport, a petrochemical plant, and the Kharg Island oil export terminal. Gulf states on high alert Regional authorities have taken precautionary measures: Bahrain’s Khalifa Bin Salman Port announced a temporary suspension of operations from early April 8, and the U.S. State Department issued a shelter‑in‑place order for American citizens in Bahrain, alongside travel advisories for the Hajj pilgrimage and for Riyadh. Kuwait’s Ministry of Interior imposed a curfew from 12 a.m. to 6 a.m. (GMT 21:00–03:00) as a precaution, while the King Fahd Causeway linking Saudi Arabia and Bahrain was closed twice on Tuesday due to alerts in Saudi Arabia’s eastern region. Israel warned its citizens of a likely surge in attacks as the deadline approaches, citing the Karish and Tanin offshore gas fields as potential targets. Explosions and rocket fire were reported across the region, including near a U.S. diplomatic facility in Baghdad, in the Iraqi capital, and over Bahrain and the UAE. The UAE’s Ministry of Defence confirmed that its air defences are currently engaging missile and drone attacks from Iran, and Qatar’s Ministry of Defence reported intercepting a missile aimed at its territory. These developments underscore a rapidly escalating security environment in the Middle East, with the potential to impact global energy supplies and international trade.