Iraq agrees to halt dollar flows to Iran-backed militias - WSJ

The global economy has been broadly resilient to the shock from the war in the Middle East, the heads of four major international agencies said Wednesday, while warning that uncertainty remains high and energy markets and goods transit are still under strain.

The heads of the International Energy Agency, International Monetary Fund, World Bank Group and World Trade Organization reiterated the need for progress toward resolving the conflict and reopening the Strait of Hormuz.

“Uncertainty remains high, and the impacts of the war could linger. Energy markets and transit of goods are still facing strains,” they said in a joint statement.

Iran’s exiled Prince Reza Pahlavi accused the Islamic Republic of using days-long state funeral ceremonies for former Supreme Leader Ali Khamenei to project legitimacy and drown out what he called the real voice of the Iranian people.

“The Islamic Republic is trying to hide the real voice of the Iranian people amid the noise of state ceremonies for an innate criminal and one of the most hated rulers in Iran’s history,” Pahlavi said.

He said a “worn-out, rotten and declining regime” was trying to create a false image of legitimacy through staged displays, propaganda and heavy spending from public funds.

Pahlavi said the “truth of Iran” lay with those who had given their lives for the country’s freedom, and urged support for the families of those killed.

“History has shown time and again that no power can forever silence the will of a united nation that has risen up for liberation and to build a better future,” he said.

US Vice President JD Vance said on Wednesday that if Iran “shoots at ships” in the Strait of Hormuz, the US military would respond.

“If they shoot at ships, we’re going to knock the hell out of them. And it’s that simple,” Vance said at an event in Milwaukee.

Vance said any attempt by Iran to close the Strait of Hormuz would also trigger a US military response, warning that strikes would continue “until they open up that lane and stop shooting at ships.”

Italian Prime Minister Giorgia Meloni said Italy will not take part in military operations against Iran, reiterating Rome’s position amid escalating tensions in the region.

“We have had a very clear line from the beginning of the conflict in Iran … we will not participate in attacks against Iran,” Meloni told reporters at the NATO summit in Ankara.

In March, Italy denied permission for US military aircraft bound for the Middle East to land at the Sigonella air base in Sicily.

US President Donald Trump had been “within reach” in Turkey but Iran did not target him in order to preserve good relations with neighboring countries, an Iranian official said Wednesday.

“Trump was within reach for retaliation over Khamenei, but in order to preserve friendship and good neighborly relations with neighbors, we did not target him,” Ezzatollah Zarghami, a member of Iran’s Supreme Council of Cyberspace, said on X.

The former head of Iran’s state broadcaster also called for Turkey’s ambassador to be summoned over what he said was Trump issuing orders to attack Iran while in Turkey, where the US president attended a NATO summit.