Live: Crude drops while gold climbs to seven-week high amid optimism over U.S.-Iran negotiations

A committee within the Iranian parliament is evaluating an initial legislative draft intended to ban ships from the United States, Israel, and other designated adversarial nations from navigating through the Strait of Hormuz, according to a legislator quoted by Iran's semi-official Fars news service. Under the proposed law, maritime vessels failing to comply with these restrictions could face financial penalties amounting to as much as 20 percent of their cargo's monetary worth. The legislator stated that the bill remains subject to technical evaluation, adding that parliament has called upon subject-matter experts to provide their inputs prior to finalizing the legal text.

Deadly attacks carried out on Thursday (August 6) by Iran-aligned Houthi fighters in the central and eastern regions of Yemen resulted in the deaths of no fewer than 30 government service members, while at least 50 others sustained injuries, according to Yemeni official sources. Conversely, a Houthi commander claimed that their operations targeted Saudi-backed military personnel, alleging that hundreds were either killed or wounded in the offensive. The strikes targeted military camps belonging to forces allied with the internationally recognized administration across the Marib and Hadramout provinces, the officials noted, requesting anonymity as they were not cleared to speak officially to the press.

Prime Minister Narendra Modi was contacted over the phone on Thursday by Israeli Prime Minister Benjamin Netanyahu, during which the two leaders shared perspectives regarding recent developments across West Asia. Additionally, both heads of government reviewed the ongoing advancement of the India-Israel Special Strategic Partnership and reiterated their determination to further expand bilateral ties across diverse sectors to benefit both nations, according to a press release from the Prime Minister's Office. "PM Netanyahu and PM Modi exchanged views on the recent developments in West Asia. The two leaders agreed to remain in touch," the official statement noted.

Tehran escalated warnings to neighboring Gulf nations over the past week, signaling that it could trigger a complete power outage across the entire region if American strikes hit Iranian power stations, while also specifying a list of potential targets, according to two officials who spoke to AFP. This stern caution followed threats by U.S. President Donald Trump of a massive offensive against Iran, a stance he subsequently walked back over the weekend after receiving requests from Saudi Arabia, the UAE, and Qatar, as well as holding out hope for a diplomatic breakthrough. A Gulf official informed AFP that Tehran pledged to shut down electricity across Gulf states one by one should Trump launch attacks on its power infrastructure, a statement echoed by a second regional source. Both sources spoke on condition of anonymity to discuss sensitive regional security developments.

Tehran has launched an intensive diplomatic campaign aimed at neighboring Gulf countries, issuing a direct ultimatum that its forces will target their petroleum, electrical, and water facilities if they do not persuade Donald Trump to halt American military operations against Iran and pursue a diplomatic solution to the ongoing conflict. A high-ranking Iranian authority indicated that the potential strikes could target energy installations, oil reserves, refining facilities, power distribution grids, water networks, transit hubs, and additional key infrastructure belonging to the United States' main Arab partners in the region. According to insider sources, this warning forms part of a wider attempt by Iran to prevent additional American strikes by highlighting the threat of massive financial and logistical chaos throughout the Gulf region. These high-level diplomatic exchanges were initiated shortly after Trump's July 28 warning threatening Tehran's energy grid and critical infrastructure. Knowledgeable sources—including two top Iranian officials, two Gulf insiders, and a high-level regional diplomat—revealed that Iranian Foreign Minister Abbas Araqchi held conversations with his counterparts from Saudi Arabia, Turkey, and Qatar, along with the head of Pakistan's armed forces. All sources requested anonymity due to the delicate diplomatic environment.

Kuwaiti authorities have ordered the shutdown of an Iranian school in the country, an education ministry official told AFP on Thursday (August 6, 2026), following recurring Iranian strikes on the nation during the broader West Asia war. While the official did not explicitly state the cause for closing the nation's sole Iranian educational institution, Kuwait was among several Gulf states hosting American forces that were targeted by Tehran throughout the conflict, particularly after a June truce collapsed. According to the official directive seen by AFP, "The Minister of Education issued a decision to revoke the educational licence of the private Iranian school and close it down."

Rights advocate groups stated on Thursday (August 6, 2026) that an Israeli strike in southern Lebanon earlier this year, which killed reporter Amal Khalil and wounded another journalist, appears to be a "war crime". The deadly attack occurred in the village of Al-Tiri on April 22, merely days after a truce had been announced between Israel and the militant group Hezbollah. Khalil, a 42-year-old correspondent for the Lebanese newspaper Al-Akhbar, alongside freelance camera operator Zeinab Faraj, had sought shelter inside a nearby building after an initial Israeli air strike hit a car traveling in front of theirs. Human Rights Watch, Amnesty International, and Lebanese advocacy group 'The Legal Agenda' released the findings of their separate investigations into the strike on Thursday (August 6, 2026).

American President Donald Trump declared on Thursday (August 6, 2026) that the nation possesses an ample supply of military armaments, warning that those claiming a shortage could face imprisonment as his frustration over the Iran conflict escalated. Writing on his Truth Social network, the Republican leader contested press reports concerning dwindling weapon stockpiles, maintaining that the U.S. holds "massive amounts of 'munitions' especially of certain types," without supplying further details. He further noted that extensive quantities are being produced and dispatched domestically as required, emphasizing that defense firms are constructing the highest number of manufacturing plants and facilities in American history.

Lebanese state communications reported overnight Israeli air assaults and shelling into Thursday (August 6, 2026) morning, following Israel's announcement of its first combat deaths in over a month as fighting reignited. The military actions — commencing Wednesday afternoon (August 5, 2026) along with the first evacuation warnings in several weeks — occurred as delegates from Israel and Lebanon participated in U.S.-mediated negotiations in Rome, where Beirut is seeking a gradual Israeli military pullout from southern zones. Lebanon's official National News Agency (NNA) stated that hostile forces intensified strikes across Tyre district through a succession of aerial raids and heavy artillery fire running from Wednesday night into Thursday morning.

Islamabad hopes that a recent accord concerning the Strait of Hormuz will lead to restarted dialogue between Washington and Tehran under a memorandum of understanding helped mediated by Pakistan, the foreign office stated on Thursday (August 6, 2026). Foreign Ministry spokesperson Tahir Andrabi informed reporters, "We hope that the agreement on the Strait will pave the way for continuing dialogue, particularly the resumption of technical level talks between Iran and the United States."

Pakistani Prime Minister Shehbaz Sharif alongside Army Chief Asim Munir are scheduled to make an official visit to Saudi Arabia between August 6 and August 8, according to an announcement by the South Asian country's foreign office on Thursday (August 6, 2026). Foreign ministry spokesperson Tahir Andrabi stated that even though this trip occurs amid escalating friction across the Gulf, its importance extends far beyond pressing crisis management and short-term factors. The Pakistani administration has been actively attempting to mediate a resolution to the conflict between the U.S. and Iran, which has embroiled several Gulf nations including Saudi Arabia.

Tehran has issued a warning to neighboring Gulf nations that any fresh military aggression by Washington on Iranian soil will lead to retaliatory strikes against key energy facilities throughout the region, five sources revealed, as Iran attempts to increase the consequences of military action by targeting Washington's key regional partners. According to two high-ranking Iranian officials, two Gulf-based sources, and a senior regional diplomat familiar with the talks, Iranian Foreign Minister Abbas Araqchi communicated with his counterparts in Saudi Arabia, Turkey, and Qatar, as well as the Pakistani Army Chief. All informants requested anonymity due to the delicate nature of the information. The senior diplomat noted that Araqchi pressed Washington's regional partners to leverage their influence with Trump to prevent further air strikes, cautioning that any assault on Iranian territory would bring about counterstrikes on American installations and energy infrastructure across the Gulf.

Commercial vessel movement via the Strait of Hormuz and the Bab-el-Mandeb strait—the primary maritime choke points in the Gulf—witnessed a major decline on Wednesday (August 5, 2026) compared to the preceding day, tracking data revealed. Data provided by Kpler indicated that only two ships navigated the Strait of Hormuz—a Panama-flagged vessel carrying coal entering the corridor and a Marshall Islands-flagged bulk carrier exiting it—down from eight ships recorded a day prior. Read the full story below Commercial maritime movement across the Gulf falls sharply after Houthis report targeting Saudi oil tankers with missiles during an ongoing maritime blockade.

According to the Lebanese Health Ministry, an attack conducted by Israel targeting the southern settlement of Tibnin resulted in one fatality and left 12 people injured. In response to what it characterized as a breach of the ceasefire agreement by Hezbollah, the Israeli army launched military strikes across southern Lebanon.

On Thursday (August 6, 2026), the armed forces of Israel announced that two soldiers died during clashes in southern Lebanon, registering the initial Israeli fatalities since a fragile truce was brokered in June with the Iranian-aligned Lebanese group Hezbollah. The defense forces named the fallen reservists, who perished during fighting on Wednesday (August 5, 2026), as 34-year-old Major Harel Birenstock and 33-year-old Sergeant Major Tamir Vaknin, both belonging to the 55th Brigade's 2855th Battalion.

United States President Donald Trump remarked that dialogue with Tehran appeared to be progressing favorably, re-emphasizing his optimistic assessment of negotiations over the Iran conflict while withholding granular details. Although the war involving Iran has now stretched into its sixth month without a finalized peace agreement between the parties, Mr. Trump consistently presents the dialogue in a favorable light. Additionally, he asserted that an agreement to unblock the Strait of Hormuz—a crucial maritime corridor for energy shipments closed by Tehran following the outbreak of hostilities—is expected very soon.

During negotiations in Rome, the Israeli team asked to wrap up the session three hours ahead of schedule after delegation leader Yechiel Leiter, the United States ambassador, cited alleged deceptive disclosures by Lebanese representatives, according to a source speaking to AFP. Despite the disruption, discussions are scheduled to restart on Thursday (August 5, 2026) to complete the third and concluding session. These meetings mark the seventh iteration of diplomatic dialogue since hostilities escalated in March, when Hezbollah launched rockets at Israel in solidarity with Iran, involving Lebanon in the broader regional war.

Bullion recorded gains for the fourth consecutive trading day on Thursday (April 6, 2026), reaching its loftiest value in seven weeks. The rally was driven by softening crude prices, a weakening greenback, and slipping Treasury yields amid optimistic signals regarding the reopening of the Strait of Hormuz. Spot gold rose 1% to hit $4,285.84 per ounce by 0132 GMT, marking its highest point since June 18. A day prior on Wednesday, the precious metal had registered its strongest single-day surge since February. Meanwhile, U.S. gold futures climbed 0.9% to reach $4,345.80.

Energy prices trended lower on Thursday (August 6, 2026) as market participants evaluated whether ongoing dialogue between Tehran and Muscat could pave the path for a peace treaty between Washington and Iran to conclude the five-month conflict and unblock the Strait of Hormuz. Brent crude futures shed 37 cents, or 0.5%, reaching $79.08 per barrel by 0024 GMT. Concurrently, U.S. West Texas Intermediate crude futures dropped 53 cents, representing a 0.7% decline, to $74.69 a barrel. On Wednesday, Brent had logged a modest gain, whereas WTI saw a slight drop. "Reports suggesting that talks between Iran and Oman are making headway triggered some selling pressure," observed Yuki Takashima, an economist at Nomura Securities.