Former U.N. Ambassador Nikki Haley backed the U.S. decision to strike Iran on Wednesday and called for increased pressure on China and Russia, stating Tehran continues to play games in negotiations. Haley argued that Iran uses negotiations to buy time while rebuilding its military capabilities, including restoring missile infrastructure. She emphasized that holding China and Russia accountable is key to weakening Iran's military capacity.

In a post on X alongside a Fox News interview clip, Haley wrote, "Iran will always play games. It was absolutely the right decision to strike today." She added, "Now let's up the pressure on China and Russia for their role arming the regime and allowing them to stall further."

During the interview, Haley claimed Iran has repeatedly used negotiations to stall and strategize. She said Iran was rebuilding its military capabilities while talks continued and had excavated 50 of the 69 tunnels previously used for missiles, which allows Tehran to fight another day.

Haley further called for expanding U.S. pressure beyond Iran, alleging that China has supplied weapons systems and Russia has provided drones and satellite support. She said holding those countries accountable is key to weakening Iran's military capacity.

Key Claims by Haley

Global oil prices surged above $95 per barrel and U.S. stock futures slipped late Wednesday as geopolitical tensions escalated in the Middle East. President Donald Trump warned that additional military action would follow if Iran fails to reach an agreement with Washington. The escalation follows U.S. strikes on Iranian targets and threats by Tehran to close the Strait of Hormuz, a critical chokepoint for global oil shipping.

Market Reaction to Escalation

Financial markets reacted swiftly to the heightened tensions. Dow futures fell 50 points, or 0.10%, to 49,940.00. S&P 500 futures declined 4.00 points, or 0.05%, to 7,274.50, while Nasdaq 100 futures lost 47.50 points, or 0.17%, to 28,506.50 as of around 8:50 p.m. EDT.

Commodity markets saw significant movement, particularly in energy. WTI crude oil climbed 2.60% to $92.37 per barrel, while Brent crude advanced 2.19% to $95.14 per barrel. Natural gas futures were largely flat, slipping 0.03% to $3.184 per MMBtu. The U.S. dollar index stood at 99.956, down 0.13%.

Asian markets traded higher, with South Korea's KOSPI rising 3% to 7,499.20 and Japan's Nikkei 225 advancing 1.14% to 63,446.63.

Military Strikes and Strategic Threats

The U.S. Central Command announced that American forces targeted Iranian surveillance assets, communications systems, and air defense sites. The operation, involving Marine Corps, Air Force, and Navy assets, began at approximately 5:15 p.m. ET. These strikes were in response to what officials described as unwarranted aggression by Iran, including the reported downing of an American helicopter.

Iran's top military command announced the closure of the Strait of Hormuz to oil tankers and commercial vessels, warning that ships attempting to pass could come under fire. However, U.S. Central Command stated on social media that claims regarding the closure or attacks on U.S. warships were false, noting that commercial ships continued to transit the waterway.

Retaliation and Political Warnings

Iranian state-affiliated media reported explosions in multiple cities, including near Tehran and the southern coast. The Islamic Revolutionary Guard Corps (IRGC) claimed it launched retaliatory attacks against 18 targets, including U.S. military facilities in Bahrain and Kuwait. Bahrain's Interior Ministry reported air raid sirens, though no similar alerts were reported in Kuwait. The IRGC also stated it targeted the U.S. Fifth Fleet headquarters in Bahrain and Kuwait's Ali Al Salem Air Base.

President Trump indicated that U.S. bombing operations could cease if an understanding is reached with Iran. However, he warned that military action would continue Thursday night if Tehran does not sign a memorandum of understanding with Washington.