Trump threatens "massive attacks" on Iran, global inflation alarm rings again.

U.S. President Donald Trump said that the United States is considering launching a "large-scale attack" against Iran to force Iran back to the negotiating table, which may further push up energy prices that are already putting pressure on the global economy. Trump said in an interview that he is "close to making a decision" and the strike will be "beyond anything that has been done before." He was quoted as saying that Iran is not ready to make a deal, stating that "they have not suffered enough yet." This statement highlights the dilemma that Trump is facing - the renewed fighting has caused a temporary ceasefire agreement to collapse, and the Strait of Hormuz is almost blocked. On Thursday, Trump warned on Truth Social that if Iran and its supported Houthi rebels in Yemen attack commercial ships, they will face "serious military punishment." This week, the Houthis claimed responsibility for attacking a Saudi oil tanker, opening a new front in the conflict that has already pushed oil prices above $100 per barrel and U.S. retail gasoline prices to over $4 per gallon. According to foreign media citing Iranian and Iraqi officials, Iraq's Prime Minister brought Trump's ceasefire proposal to Iran, but Iran rejected it on Thursday, frustrating mediation efforts once again. The details of the plan are still unclear. U.S. Central Command said on Thursday that it has conducted airstrikes for the 13th consecutive night to weaken Iran's ability to attack commercial ships in the Strait of Hormuz. Hours before the U.S. airstrikes, Trump warned that "from now on, any damage to ships, cargo, and related affairs will be compensated from Iranian funds held and controlled by the United States." About $20 billion of Iranian funds are frozen in the U.S., with larger sums stored in other countries and unable to be transferred due to U.S. sanctions - estimates range from $24 billion to over $100 billion. Iranian Foreign Minister Abbas Araghchi wrote on X platform that "seizing assets of other countries to compensate for future unrelated claims is a dangerous precedent." Since the U.S. and Israel launched a joint attack on Iran in February this year, the conflict entered a new escalation phase after a ceasefire last month. Although the intensity of the fighting is not as high as before, Iran has threatened to attack regional infrastructure, including energy facilities, if Trump fulfills his threat to "destroy a bridge or power plant for every Iranian attack on the Hormuz shipping route." The Strait of Hormuz, which carries about one-fifth of global energy supplies, now has drastically reduced traffic. This week, actions by the Houthis have threatened another maritime chokepoint - the Bab el-Mandeb Strait, forcing some ships to detour. However, two Chinese-owned oil tankers loaded with Saudi crude oil have passed through the strait and exited the Red Sea. As of the time of publication, Brent crude oil was trading at $99.65 per barrel, down from $70.14 on July 2. Gold continued its decline to $4030.10 per ounce, as the market anticipates that the Federal Reserve may tighten monetary policy to curb inflation. Last month, Trump agreed to a temporary ceasefire, citing the risk of a global economic collapse. Faced with increasing political pressure ahead of the mid-term elections in November, the Republican Party is trying to hold onto control of Congress. Polls show that the public does not support the war. The House of Representatives passed a second resolution on Thursday calling on Trump to stop the war, but the resolution was mainly symbolic. Iran's state television reported that the Saralanche border crossing between Iran and Iraq was attacked, resulting in the deaths of two people, while Iran continued to attack American bases in the region, including targets in Kuwait and Jordan. As a member of the "Axis of Resistance" led by Iran, the Houthi rebels control large areas of northern Yemen, including the capital Sana'a and the Red Sea port of Hodeidah. Since Israel waged war against Hamas in Gaza in 2023, the organization has frequently disrupted Red Sea shipping with drones and missiles. Trump ordered airstrikes against the group last year, but stopped the operation after reaching a partial ceasefire.