Iran threatens Middle East blackout if US attacks 1 key sector

A direct threat from a senior Iranian source to plunge the Middle East into “thorough darkness” has sent fresh tremors through global markets, with crude oil prices jumping over 2 percent on fears of a widening conflict. The source, quoted by Reuters on April 7, said any US attack on Iran’s power plants would be met with catastrophic retaliation, while the nation’s allies would move to close the critical Bab al-Mandeb Strait.

“Iranian society generally does not pay attention to his statements, as it believes he lacks personal, behavioral and verbal balance,” Sayed Reza Salihi-Amiri, Iran’s culture minister, told The Associated Press, dismissing former President Donald Trump’s threats. Trump had posted on social media that Tuesday would be “Power Plant Day, and Bridge Day” if the Strait of Hormuz was not reopened.

The sharp escalation in rhetoric follows a weekend of intense military action across the region. Brent crude, the international benchmark, rose more than 2 percent to $111.25 a barrel, while U.S. crude jumped nearly 3 percent to $114.54. The last time U.S. crude prices were above $115 a barrel was in the summer of 2022, following Russia’s invasion of Ukraine. The threats effectively target two of the world’s most critical energy chokepoints, with the Strait of Hormuz and the Bab al-Mandeb Strait accounting for roughly 30 percent of global seaborne oil trade combined.

The warnings cap a weekend that saw the dramatic rescue of two US aviators whose F-15E Strike Eagle was downed over Iran. The multi-day operation involved what Trump described as “dozens of aircrafts” and a CIA deception campaign to confuse Iranian forces. Iran’s military claimed it shot down four US aircraft during the rescue attempt, including two C-130 transport planes and two Black Hawk helicopters, a claim that could not be independently verified.

A Region on Edge

The conflict has expanded far beyond direct US-Iran confrontations, pulling in nations across the Middle East. A series of airstrikes, unattributed but following Trump’s deadline, hit multiple Iranian cities including Tehran, Qom, and Ahvaz, killing at least 37 people according to Iranian media reports. Targets included Sharif University of Technology, a campus long sanctioned for its links to Iran’s ballistic missile program.

In response, Iran and its allies have unleashed a barrage of projectiles. The United Arab Emirates reported intercepting over 60 projectiles on Sunday alone, including nine ballistic missiles. Kuwait reported “significant damage” to oil and petrochemical facilities, a government office complex, and a water desalination plant from drone attacks. Similar attacks were reported in Bahrain.

The violence has also spilled into Lebanon, where Israeli strikes have killed over 1,400 people, according to Lebanon’s Health Ministry. An Israeli strike on Sunday killed a family of six in the southern town of Kfar Hatta. On another front, Israel’s Fire and Rescue Authority reported two people were found dead in Haifa after a direct missile hit on a residential building.

This article is for informational purposes only and does not constitute investment advice.