Thick plumes of smoke rise over residential areas of the Iranian capital following airstrikes amid continued attacks by the United States and Israel as multiple explosions are heard across the city of Tehran, Iran, on March 1, 2026.
Fatemeh Bahrami/ | Anadolu | fake images
We hear it all the time on CNBC: markets hate uncertainty, and the events of the past 48 hours have changed the face of international politics in a way that will leave investors around the world struggling to understand the ramifications.
The coordinated attacks on Iran by US and Israeli forces (Operation Epic Fury) have disrupted the global order in place since the end of World War II and unleashed a new political era, not only in the Middle East, but also among international allies and adversaries alike.
For the latest developments, follow CNBC’s live updates:
Another 1,579 flights in and out of major Middle East airports were canceled on Sunday, Cirium said. Dubai International Airport, which reported damage from an incident on Saturday, was the worst affected with 747, or 70% of its flights cancelled, Cirium said. At least 70% of flights in Israel and Qatar were also cancelled.
Airspace closures in the region grounded hundreds of flights in the region.
—Leslie Joseph
” iscontemplate=”No” datepublished=”2026-03-01T05:57:27+0000″ datelastpublished=”2026-03-01T23:39:14+0000″ datefirstpublished=”2026-03-01T05:57:27+0000″ datemodified=”2026-03-01T23:39:14+0000″ settings=”(object Object)” association=”(object Object),(object Object),(object Object),(object Object),(object Object),(object Object)” description=”Follow the latest news after the United States and Israel launched a massive attack on Iran that killed Iran’s Supreme Leader Ayatollah Ali Khamenei. headline=”Live updates: Trump promises to do it.” ‘avenge’ deaths of US service members, combat operations continue” shortheadline=”Live updates: Trump vows to ‘avenge’ deaths of US service members, combat operations continue” section=”(object Object)” createby=”joymarie.scott@versantmedia.com” editedby=”terri.cullen” seotitle=”US-Iran news today: live updates” summary=”Follow the latest news after the US and Israel launch a massive attack on Iran that killed Iran’s Supreme Leader Ayatollah Ali Khamenei.” linkheadline=”Live updates: Trump vows to ‘avenge’ deaths of US service members, combat operations continue” Publisher=”(object Object)” about=”
This is CNBC’s live blog covering the US and Israeli attacks on Iran and Tehran’s counterattacks across the Middle East. CNBC reporters are covering the strikes from our bureaus in Washington, London, Singapore, San Francisco and Englewood Cliffs, New Jersey.
What you need to know
- Three US service members have been
killed in operation in Iran .Thousands of flights have been canceled since the conflict in Iran began- Congress intends to vote
war powers resolution in the next week.Insurers raise prices for oil tankers transiting the Strait of Hormuz, which raises the price of oil.
President
Trump told CNBC early Sunday
The president’s comments come as Iran’s retaliation intensifies after
Markets, policymakers and regional leaders are now watching closely to see how far the conflict spreads and whether the shift in power in Tehran alters Iran’s political trajectory or further entrenches its security-first stance.
CORRECTION: A blog headline has been updated to clarify that senior cleric Ayatollah Alireza Arafihas has been appointed to Iran’s interim Leadership Council.
How will markets and investors react? What are the knee-jerk reactions versus the long-term adjustments that will need to be made to investment strategies?
These are some of the assets to watch during the week.
Massive sale in the Middle East
Stock markets across the Middle East came under pressure on Sunday, in the first session of stock trading since the attack. Saudi Arabia’s Tadawul, Oman’s Muscat index and Bahrain’s stock market were all trading in the red, while many of the region’s other markets did not open. Dubai, Abu Dhabi and Israel indices will resume trading on Monday. The impact is expected to ripple through global markets.
The oil trade
Oil markets will be the epicenter of volatility after the attacks. Traders predict the price of Brent crude will surpass $80 a barrel, according to Verisk Maplecroft. The outlook comes despite OPEC’s recent decision to increase production earlier and more than previously planned.
Oil prices expected to skyrocket following Operation Epic Fury
Disruption of the Strait of Hormuz
Oil price volatility will be exacerbated by the closure of the Strait of Hormuz. Global shipping companies, including Maersk, MSC, Hapag-Lloyd and others, have suspended all vessel transit along the route until further notice. Iran’s Revolutionary Guard claimed to have attacked several oil tankers in the Gulf in retaliatory attacks. It was unclear when the strait would reopen. Some ships were being diverted around Africa, increasing the time and cost of shipments.
Airline chaos
There has been a huge disruption to air travel, with almost all of the Middle East region’s airspace closed since the attacks began. More than 1,500 flights were canceled across the region on Sunday, while flight tracking site FlightAware said more than 19,000 flights had been delayed worldwide. Airlines are expected to remain under pressure as companies work to reopen routes and organize repatriation flights.
AI and Iran
The strikes also intersected with the market’s broader focus on artificial intelligence. Until recently, investors had focused on AI’s potential to reshape industries around the world. While that issue may seem far removed from the events in Iran, there appears to be an overlap between the two. According to a report from Axios, the US military used Anthropic’s Claude AI technology to support its attacks against Iran, even as the Pentagon blacklisted the company for how its technology is used. Anthropic has resisted Pentagon demands to allow unrestricted military use of Claude, and the Defense Department has decided to label the company a “supply chain risk” because of that dispute.
What comes next?
What the rest of the week will bring is still unclear. President Donald Trump told CNBC’s Joe Kernen that U.S. military operations in Iran are “ahead of schedule.” In a market spooked by uncertainty, it will be the “known unknowns” that will keep investors on edge.
