UAE says air defenses intercepted Iranian missiles and drones

Iranian Foreign Minister Abbas Araghchi said the United States chooses military action whenever diplomacy becomes possible, adding that Iranians would “never bow to pressure.”

“Every time a diplomatic solution is on the table, the US opts for a reckless military adventure,” Araghchi wrote on X on Friday.

He also rejected what he said were CIA assessments about Iran’s missile capabilities, saying Iran’s missile inventory and launcher capacity stood at “120%” compared with levels before the conflict that began on Feb. 28.

“As for our readiness to defend our people: 1,000%,” Araghchi added.

Information received by Iran International points to growing financial pressure across sectors including agriculture, fishing, retail and manufacturing after weeks of disruption linked to conflict, internet shutdowns and trade uncertainty.

The price of potassium fertilizer for a 50-kilogram sack has increased tenfold compared to last year, reaching about 70 million rials (around $40), one farmer told Iran International.

Rice farmers typically require around six sacks of fertilizer per hectare, sharply increasing cultivation costs at a time when many already struggle with falling incomes.

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  Iran taps reserves again as inflation bites and layoffs mount

The farmer added that urea fertilizer prices have also risen severalfold in recent months.

Mehdi Hosseinizadeh, head of Iran’s Association of Pesticide and Fertilizer Importers, linked the increase in fertilizer prices on Thursday to damage suffered by some petrochemical facilities during the war and shipping disruptions through the Strait of Hormuz.

Hosseinizadeh also cited rising import costs, shortages in global fertilizer markets, difficulties securing supplies from China and India, and problems related to currency allocation and import registration.

Another farmer had earlier told Iran International that the price of drip irrigation tape rose from 4 million rials ($2.25) to 30 million ($17), while fertilizer costs climbed from 8 million rials ($4.5) to more than 100 million ($57).

Drip irrigation tape is a thin polymer tube used in irrigation systems to deliver water gradually to plant roots and reduce water consumption in row crops.

Workers report layoffs and business closures

Citizens from several provinces described worsening conditions for workers and tradespeople during the ceasefire period following the conflict.

A fisherman from Qeshm island said he had been unemployed for several months and that falling prices for export fish had increased pressure on local fishermen.

Another resident from Sarbandar, Khuzestan province, described rising unemployment among port workers and shrinking household incomes.

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  Iran’s labor market cracking under layoffs and inflation

“Everything I earn goes toward rent, transportation and a small amount of food,” the resident said.

Several citizens had previously told Iran International they were selling household goods, work tools and personal belongings to cover food and basic living expenses after losing jobs and income.

One former worker from Tehran said he had been unemployed for nearly three months after beginning work in the electrical equipment market.

“My financial situation has deteriorated sharply and daily life has become difficult to endure,” he said.

A florist from Arak said the prices of supplies including paper, glue, ribbons, boxes and floral foam had quadrupled over the past two months.

Residents in Kashan also described carpet factories shutting down and laying off workers.

Shopkeepers in several parts of Tehran, also reported widespread business closures.

IRGC-affiliated Tasnim news agency released a video on Friday that it said showed Iranian naval forces seizing the tanker Ocean Koi, accusing the vessel of attempting to disrupt Iran’s oil exports and national interests.

Tasnim said the tanker was carrying an Iranian oil cargo and accused it of “taking advantage of regional conditions to damage and disrupt Iran’s oil exports and the interests of the Iranian nation.”

The agency did not specify when or where the tanker was seized.

The vessel appears to be the Barbados-flagged OCEAN KOI, which was sanctioned earlier this year by the US Treasury as part of what Washington described as Iran’s “shadow fleet” used to transport sanctioned Iranian petroleum products.

The US Treasury said in February that OCEAN KOI had transported millions of barrels of Iranian fuel oil and condensate and had operated as part of Iran’s shadow fleet since at least 2020.

World food prices rose in April to their highest level in more than three years, driven in part by higher vegetable oil prices linked to the war involving Iran and disruptions around the Strait of Hormuz, the UN Food and Agriculture Organization said on Friday.

FAO Chief Economist Máximo Torero said rising energy costs had boosted demand for biofuels made from vegetable oils.

He added that global agricultural supply systems had remained relatively resilient despite the conflict, with cereal prices rising only moderately due to strong existing supplies.

The largest gains have come in energy markets, where disruption to shipments through the Strait of Hormuz, a route for about a fifth of the world’s oil and gas, has sent prices swinging sharply.

European oil majors have benefited most because of their large trading arms, which profit from volatility.

BP’s first-quarter profits more than doubled to $3.2 billion after what it called an “exceptional” performance in trading, while Shell reported profits of $6.92 billion and TotalEnergies posted a nearly one-third rise to $5.4 billion.

US oil giants ExxonMobil and Chevron reported lower earnings than a year earlier because of supply disruptions from the Middle East, but both still beat analysts’ forecasts and expect stronger profits as oil prices remain well above prewar levels.

Major banks have also gained from market turbulence caused by the Iran war.

JP Morgan’s trading arm reported a record $11.6 billion in revenue in the first quarter, helping deliver the bank’s second-biggest quarterly profit. Across the six largest US banks, profits reached $47.7 billion in the first three months of 2026.

Defense companies have also benefited as the war pushes governments to restock weapons and expand investment in air defense, missile defense, counter-drone systems and other military hardware.

BAE Systems – a major British supplier of fighter jet components, naval systems and military technology – said it expects strong sales and profit growth this year, citing rising global security threats and increased defense spending. Lockheed Martin, Boeing and Northrop Grumman each reported record order backlogs at the end of the first quarter.

The war has also boosted parts of the renewable energy sector, as higher fuel prices and energy insecurity accelerate interest in alternatives.

NextEra Energy shares have risen 17% this year, while Vestas and Orsted reported stronger profits. In the UK, Octopus Energy said solar panel sales had risen 50% since the end of February.