Iran Hardliners Rally Behind New Leader, Unsettling Global Markets

People gather in a rally to support Mojtaba Khamenei, the successor to his late father Ali Khamenei as supreme leader, in Tehran, Iran, Monday, March 9, 2026. (AP)
People gather in a rally to support Mojtaba Khamenei, the successor to his late father Ali Khamenei as supreme leader, in Tehran, Iran, Monday, March 9, 2026. (AP)
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Iran Hardliners Rally Behind New Leader, Unsettling Global Markets

People gather in a rally to support Mojtaba Khamenei, the successor to his late father Ali Khamenei as supreme leader, in Tehran, Iran, Monday, March 9, 2026. (AP)
People gather in a rally to support Mojtaba Khamenei, the successor to his late father Ali Khamenei as supreme leader, in Tehran, Iran, Monday, March 9, 2026. (AP)

Iran's hardliners staged a show of force on Monday, taking to the streets to proclaim their loyalty to new Supreme Leader Mojtaba Khamenei, whose rise appeared to dash hopes of a swift end to war in the Middle East causing havoc on global markets.  

The prospect that one of the most severe disruptions ever to hit global energy supplies could last longer than previously expected sent oil prices surging in record leaps and stock markets into a nosedive. 

Khamenei, 56, a cleric with a power base among the security forces and their vast business empire, has been declared unacceptable by US President Donald Trump, who has demanded Iran's unconditional surrender. 

Iranian state media showed large crowds in several cities rallying behind the new leader, waving Iranian flags and holding portraits of his father Ali Khamenei, killed by strikes on the war's first day. 

In Isfahan, state TV reported the sound of nearby explosions from apparent airstrikes as loyalists gathered in the historic Imam Square, chanting "God is the Greatest" below a stage with portraits of Ali and Mojtaba Khamenei.  

In Tehran, a eulogist could be heard singing: "Either death or Khamenei, our blood leads to paradise." 

POLITICAL SYSTEM RALLIES BEHIND NEW LEADER  

Politicians and institutions issued pledges of loyalty to the new supreme leader, whose wife, son and mother also ‌died at the start of ‌the US-Israeli air onslaught according to Iranian state media. 

"We will obey the commander-in-chief until the last drop of our blood," a ‌defense council ⁠statement said.  

Iranians ⁠reached by telephone were divided, with supporters of the authorities hailing the choice as a declaration of defiance and opponents fearful it would dash their hopes for change. 

"I am so happy that he is our new leader. It was a slap in the face to our enemies that thought the system will collapse with the killing of his father. Our late leader's path will continue," said university student Zahra Mirbagheri, 21, from Tehran. 

Many Iranians had initially celebrated the elder Khamenei's death, weeks after his security forces killed thousands of anti-government protesters in the worst domestic unrest since the era of Iran's 1979 revolution. But there has since been little sign of anti-government activity, with activists fearful of taking to the streets while Iran is under attack. 

"The (elite Revolutionary) Guards and the system are still powerful. They have tens of thousands of forces ready to fight to keep this regime in place. We, the people, have nothing," said Babak, 34, a businessman in the ⁠central city of Arak who asked to keep his family name confidential. 

Israel says its war aim is to overthrow Iran's ‌system of clerical rule. US officials mainly say Washington's aim is to destroy Iran's missile capabilities and nuclear program, but Trump ‌has said the war can end only with a compliant Iranian government.  

Israel had said it would kill whoever succeeded the elder Khamenei unless Iran ended its hostile policies. Fox News quoted Trump as ‌saying that he was "not happy" with the choice. 

OIL SURGES PAST $100 A BARREL, THEN DIPS BACK 

The war has effectively shut the Strait of Hormuz, a chokepoint for a ‌fifth of global oil and liquefied natural gas, leaving tankers unable to sail for more than a week and forcing producers to halt pumping as storage fills.  

Brent crude futures were up nearly 7.00% at $99.25 per barrel at 1610 GMT, having earlier shot as high as $119.50 in what would have been the biggest one-day rise on record. 

Since the war started, Brent has surged by as much as 65%. The prospect of a prolonged energy crisis - ‌reviving memories of the Middle East oil shock of the 1970s - sent global share markets into a tailspin.  

Bond yields surged as investors bet that central banks would have to cancel rate cuts or impose hikes to fight inflation. 

The price of gasoline ⁠has particular political resonance in the United States, ⁠where Trump's Republicans hope to keep control of Congress in midterm elections in November. 

The president is expected to review as early as Monday a set of options to tame domestic oil prices, including a possible release of crude oil from strategic reserves or restricting US exports, according to two people familiar with the matter. 

"Short-term oil prices, which will drop rapidly when the destruction of the Iran nuclear threat is over, is a very small price to pay for U.S.A., and World, Safety and Peace," Trump posted on Truth Social on Sunday night. "ONLY FOOLS WOULD THINK DIFFERENTLY!" 

OIL REFINERY HIT 

Tehran was choked in black smoke after an oil refinery was hit, an escalation in strikes on Iran's domestic energy supplies.  

World Health Organization chief Tedros Ghebreyesus warned of the dangers from such attacks. 

"Damage to petroleum facilities in Iran risks contaminating food, water and air – hazards that can have severe health impacts especially on children, older people, and people with pre-existing medical conditions," he wrote on X.  

Türkiye said on Monday NATO alliance air defenses had shot down a ballistic missile that was fired from Iran and entered Turkish airspace, the second such incident of the war. Iran did not immediately comment on the report. 

Türkiye, Iran's neighbor with NATO's second-largest army, had warned Tehran on Saturday against attacking again, but it has not suggested it wants to formally call on bloc members for further protection. 

Israel's military said it had launched new attacks in central Iran and struck the Lebanese capital Beirut, where Israel has extended its campaign after the Iran-backed militia Hezbollah fired across the border. 

US-Israeli attacks have killed at least 1,332 Iranian civilians and wounded thousands, according to Iran's UN ambassador.  

The toll from Israeli strikes on Lebanon rose to 486 people killed and 1,313 wounded since the start of fighting last week, the Lebanese health ministry said Monday. 

"The toll of the Israeli aggression from dawn on Monday, March 2, until Monday afternoon, March 9, has risen to 486 martyrs and 1,313 wounded," the ministry said in a statement. 

In Israel, ambulance workers said one man died from shrapnel wounds at a construction site near Tel Aviv's international airport, raising to 11 the death toll from Iranian strikes. 



USS Gerald R. Ford Aircraft Carrier Leaves Middle East

 The USS Gerald R. Ford in the waters of the Eastern Mediterranean, Oct. 11, 2023. (Jacob Mattingly/US Department of Defense/AFP)
The USS Gerald R. Ford in the waters of the Eastern Mediterranean, Oct. 11, 2023. (Jacob Mattingly/US Department of Defense/AFP)
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USS Gerald R. Ford Aircraft Carrier Leaves Middle East

 The USS Gerald R. Ford in the waters of the Eastern Mediterranean, Oct. 11, 2023. (Jacob Mattingly/US Department of Defense/AFP)
The USS Gerald R. Ford in the waters of the Eastern Mediterranean, Oct. 11, 2023. (Jacob Mattingly/US Department of Defense/AFP)

The USS Gerald R. Ford aircraft carrier has left the Middle East after taking part in operations against Iran, a US official said Friday, leaving two of the massive American warships in the region.

The Ford is currently in the US European Command area of responsibility, according to the official, who put the number of remaining US Navy ships in the Middle East at 20, including the USS Abraham Lincoln and USS George H.W. Bush aircraft carriers.

The Ford has been at sea for more than 10 months -- a deployment that has already seen it take part in US operations in the Caribbean, where Washington's forces have carried out strikes on alleged drug-smuggling boats, interdicted sanctioned tankers and seized Venezuelan leader Nicolas Maduro.

A fire broke out in a laundry room aboard the carrier on March 12, injuring two sailors and causing major damage to some 100 beds, according to the US military.

The carrier has also reportedly suffered significant problems with its toilet system while at sea, with US media reporting clogs and long lines for restrooms on the ship.

The United States and Iran are currently in an open-ended ceasefire, but the conflict remains unresolved, with Tehran blocking the vital Strait of Hormuz waterway and Washington's forces blockading Iranian ports.


US Treasury Warns Shippers Not to Pay Hormuz Tolls, Even in Form of Charity

 An Emirati patrol boat, left, is near a tanker anchored in the Gulf of Oman near the Strait of Hormuz, as seen from a coastal road near Khor Fakkan, United Arab Emirates, Friday, May 1, 2026. (AP)
An Emirati patrol boat, left, is near a tanker anchored in the Gulf of Oman near the Strait of Hormuz, as seen from a coastal road near Khor Fakkan, United Arab Emirates, Friday, May 1, 2026. (AP)
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US Treasury Warns Shippers Not to Pay Hormuz Tolls, Even in Form of Charity

 An Emirati patrol boat, left, is near a tanker anchored in the Gulf of Oman near the Strait of Hormuz, as seen from a coastal road near Khor Fakkan, United Arab Emirates, Friday, May 1, 2026. (AP)
An Emirati patrol boat, left, is near a tanker anchored in the Gulf of Oman near the Strait of Hormuz, as seen from a coastal road near Khor Fakkan, United Arab Emirates, Friday, May 1, 2026. (AP)

Any shippers paying tolls to Iran for passage through the Strait of Hormuz, including charitable donations to organizations such as the Iranian Red Crescent Society, are at risk of punitive sanctions, the US Treasury warned on Friday.

The Strait of Hormuz is one of the world’s most strategically vital maritime routes, with about 20% of the world’s ‌seaborne crude ‌oil and liquefied natural gas ‌flows passing ⁠through it.

Tehran has ⁠proposed fees or tolls on vessels passing through the Strait, as part of proposals to end the war with Israel and the United States.

The advisory, from Treasury's Office of Foreign Assets Control, said ⁠the US is aware of Iranian ‌threats to ‌shipping and demands for payments to receive safe passage ‌through the Strait.

The warning came as Iran ‌sent its latest proposal for negotiations with the US to Pakistani mediators, a move that could improve prospects for breaking an impasse in ‌efforts to end the Iran war.

OFAC said demands may include several ⁠payment ⁠options, including fiat currency, digital assets, offsets, informal swaps, or other in-kind payments, such as nominally charitable donations made to the Iranian Red Crescent Society, Bonyad Mostazafan, or Iranian embassy accounts.

"OFAC is issuing this alert to warn US and non-US persons about the sanctions risks of making these payments to, or soliciting guarantees from, the Iranian regime for safe passage," it said. "These risks exist regardless of payment method."


NATO and China: A Slow Alliance Confronts a Fast-Rising Rival

People visit the BYD booth at the Beijing Auto Show in Beijing on April 30, 2026. (Photo by Adek BERRY / AFP)
People visit the BYD booth at the Beijing Auto Show in Beijing on April 30, 2026. (Photo by Adek BERRY / AFP)
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NATO and China: A Slow Alliance Confronts a Fast-Rising Rival

People visit the BYD booth at the Beijing Auto Show in Beijing on April 30, 2026. (Photo by Adek BERRY / AFP)
People visit the BYD booth at the Beijing Auto Show in Beijing on April 30, 2026. (Photo by Adek BERRY / AFP)

NATO was established in 1949 to provide collective defense against the Soviet Union, based on the principle that an attack on one member is an attack on all. At the time, US President Harry Truman also sought to anchor an American presence in war-ravaged Europe to ensure security and prevent a strategic vacuum.

The collapse of the Soviet Union, along with the socialist bloc, brought the Cold War to an end and forced NATO to adapt. The alliance expanded its operations beyond Europe, intervening in the Balkans during the Bosnia and Kosovo wars, then in Afghanistan after the September 11, 2001 attacks in the United States. It also undertook maritime missions to combat piracy, including off the Horn of Africa, alongside intelligence-sharing and counterterrorism cooperation.

NATO has since built partnerships with countries beyond its traditional scope and broadened its definition of threats to include cybersecurity, hybrid warfare, and energy security, as well as, more recently, the challenge posed by China.

In sum, NATO has evolved from a purely European defensive alliance into a broader global security actor, largely driven by the United States, while still maintaining a central focus on deterring threats within Europe.

In recent years, the Brussels-based alliance has expanded its attention toward the Indo-Pacific region for strategic reasons that extend beyond Europe. Chief among these are the interconnected nature of global security, particularly in cyberspace, the need to ensure resilient and unobstructed supply chains, and the rapid spread of advanced technologies that increasingly diminish the importance of geographic boundaries.

FILED - 03 April 2025, Belgium, Brussels: A NATO flag flies in the wind in front of the NATO headquarters in Brussels. Photo: Anna Ross/dpa

China’s Rise

Another key factor is the view of China’s rise as a strategic challenge reshaping the global balance of power. For NATO’s 32 member states, up from 12 at its founding, safeguarding trade routes is a priority, especially maritime corridors in the Indo-Pacific that are critical to the global economy.

These include the Strait of Malacca between Malaysia and Indonesia, the world’s most important shipping lane, linking the Indian Ocean to the South China Sea and carrying roughly 25 percent of global trade annually. It is also a vital artery for oil and energy flows to major Asian economies such as China, Japan, and South Korea.

NATO member states express “strategic concern” over China for several core reasons. First, China is rapidly modernizing its military, particularly in areas such as missile systems, space capabilities, and cyber operations, developments that are shifting the global balance of power.

Second, and closely linked, is China’s economic rise, reflected in initiatives such as the Belt and Road, which provide Beijing with avenues to expand its economic and political influence across Asia, Africa, and Europe. This expansion risks creating dependencies among countries in or near NATO’s strategic periphery.

Concerns are also fueled by growing ties between China and Russia, particularly following Russia’s invasion of Ukraine in February 2022, which could signal coordination between two major powers against the West.

At the same time, an indirect competition is underway over leadership in fields such as artificial intelligence, telecommunications networks, and semiconductors. NATO sees technological superiority as a core component of security.

The alliance has concluded partnership and cooperation agreements with Japan, South Korea, Australia, and New Zealand, encompassing joint military exercises, intelligence sharing, and political coordination. However, NATO does not appear to be planning an expansion of membership into the Indo-Pacific, instead favoring flexible partnerships over a permanent military presence.