In a speech broadcast on Iranian state television, President Masoud Pezeshkian apologized to neighboring countries for the attacks launched in the wake of the U.S.-Israeli strikes, but said Tehran would not strike “unless they attack first.”
Key quotes
I must apologize on my behalf and on behalf of Iran to the neighboring countries that were attacked by Iran.
The Interim Leadership Council agreed yesterday that there will be no more attacks on neighboring countries and that no missiles will be fired unless an attack on Iran comes from those countries.
Tehran “will not give in” to US President Donald Trump’s demands for “unconditional surrender.”
The comments come after Iran has launched attacks on Persian Gulf countries where US forces are based, with waves of retaliatory missile and drone strikes since US-Israeli strikes began last Saturday.
Market implications
The Iranian president’s speech can be considered the first step towards de-escalation. However, panic and market uncertainty are expected to persist unless Iranian forces provide certain conditions for the sheltered resumption of trade traffic through the Strait of Hormuz.
The deepening conflict in the Middle East has sent oil prices soaring, with the price of West Texas Intermediate (WTI) crude increasing by around 32% in a week to its highest level since October 2023 of $90.
