Middle East Tensions Grip Markets as Trump Blocks Reported Israeli Assassination Plan

Highlights

• Reports emerge of Trump administration rejecting Israeli plan targeting Iran's Supreme Leader

• Clashes between Israel and Iran intensify, prompting global concerns of escalation

• Oil markets react sharply as conflict disrupts regional energy infrastructure

The global geopolitical and energy sector continues to face heightened volatility following fresh reports involving the United States and Middle Eastern military developments. The former US President Donald Trump reportedly opposed a plan by Israel to assassinate Iran’s Supreme Leader Ayatollah Ali Khamenei, amid growing tensions and retaliatory attacks between the two nations.

Unnamed officials revealed that Israeli authorities had communicated the plan to the Trump administration, which dismissed it on grounds of potential escalation and wider regional destabilisation.

Netanyahu Responds Amid Claims and Escalating Strikes

During a televised interview, Israeli Prime Minister Benjamin Netanyahu refrained from confirming the plan or Trump’s alleged rejection. However, he acknowledged the growing threat landscape and commented that Israel would act independently to safeguard national security. He also described Trump as a top adversary in the eyes of Iran, pointing to an assassination plot aimed at the former president.

His remarks came against the backdrop of renewed hostilities between Iran and Israel, including missile and drone attacks over several consecutive nights. The military strikes have resulted in significant civilian casualties across both countries, intensifying international calls for de-escalation.

Oil Prices Shift as Conflict Hits Energy Infrastructure

Oil markets responded sharply to the developments, especially after Israeli forces reportedly targeted Iranian oil and gas infrastructure. West Texas Intermediate futures jumped substantially before retracing slightly, reflecting fears of supply disruptions and further regional instability.

The continued hostilities between two influential oil-producing countries have led to increased uncertainty in global energy markets, with traders closely watching for signs of ceasefire or diplomatic intervention. Disruptions in transportation routes or infrastructure damage could influence near-term supply chains and shipping corridors.

Market Sentiment Wavers as Conflict Fuels Volatility

Equity markets, particularly across the ASX 200 and global benchmarks, showed signs of instability amid the intensifying crisis. Energy-linked stocks displayed wide intraday movements, mirroring oil price fluctuations, while geopolitical concerns weighed on investor confidence across defensive and export-oriented sectors.

Heightened security threats in the Gulf region also prompted losses across Middle Eastern markets. Broader implications remain under close watch, especially as government responses, sanctions, and possible military escalations could affect financial and commodity markets further in coming days.