Iran has halted negotiations with the United States and threatened military action against Israel after Israeli airstrikes on Hezbollah positions in Beirut’s Dahiyeh suburb, sharpening a regional crisis with implications for oil markets and alliances. Parliament Speaker Mohammad Bagher Ghalibaf said on June 10, 2026 that both US and Israeli assets were "legitimate targets," describing their actions as provocative. The immediate trigger was Israeli strikes on June 7-8, 2026 in Dahiyeh, a Hezbollah-controlled area in southern Beirut, during Israel’s ongoing operations against the militant group in Lebanon. The move also intersects with a separate confrontation over the Strait of Hormuz, the narrow shipping lane that carries roughly 20% of global energy transit. US President Trump has claimed dominion over the Strait and demanded compensation from Iran, while Tehran has linked any full reopening of transit to war reparations from the US and Israel. By mid-August 2026, transit volumes through Hormuz had dropped to weekly lows, while oil prices saw sharp risk-driven gains during tension spikes in March and June 2026.