U.S. President Donald Trump has reportedly told Israeli Prime Minister Benjamin Netanyahu that he will ask him to refrain from retaliating against Iran following a recent missile attack.
The remarks come amid ongoing tensions in the region and raise questions about the trajectory of U.S.-Israel-Iran relations.
However, the administration has also emphasized that Iran could reverse its position at any time.
Markets have shown sensitivity to developments in the Middle East, with energy and equity sectors often reacting to shifts in geopolitical risk.
The potential for further escalation remains a key concern for investors, particularly in light of recent volatility in oil prices and regional security dynamics.
The current situation builds on a broader arc of U.S. diplomatic efforts to manage tensions with Iran, including Trump's earlier comments that Iran has agreed not to pursue nuclear weapons.
However, the administration has also emphasized that Iran could reverse its position at any time.