Israeli officials warn Iran may be planning surprise attack -JPost

Iran has held talks with Oman about charging fees from ships passing through the Strait of Hormuz, with Muscat potentially sharing in the profits, The New York Times reported, citing people familiar with the discussions.

The report said the talks focused on fees for services provided to vessels, rather than tolls charged for transit itself, which would be illegal under international law.

The New York Times said Oman, a US ally, initially dismissed the idea of partnering with Iran in the waterway but has more recently seen potential benefit in the plan.

The report, citing Iranian officials, said Oman had expressed willingness to raise the proposal with Persian Gulf neighbors and the United States, even as Washington pushes for freedom of navigation to be restored in the blockaded strait.

US Central Command said US Navy fighter jets launched from the aircraft carrier USS Abraham Lincoln in the Arabian Sea as its carrier strike group enforced the US blockade against Iranian ports.

CENTCOM said in a post on X that the Abraham Lincoln Carrier Strike Group was maintaining “peak readiness” during the operation.

European AI-linked stocks have rallied sharply even as the Iran war weighs on the region’s broader markets and economic outlook, Reuters reported.

Research from TS Lombard showed two baskets of AI-related European shares accounted for more than two-thirds of the positive performance in European stocks over the past month and a half.

“The performance of our EU AI baskets since April is on par with the Nasdaq, just a touch behind Taiwan,” TS Lombard’s Davide Oneglia said. “Look through macro chaos and don’t ignore European AI winners.”

One TS Lombard basket covering semiconductor supply-chain firms such as ASML, Infineon and STMicroelectronics has risen about 20% since the start of April.

Another basket focused on AI infrastructure, including data centers and firms such as Schneider Electric and Prysmian, is up around 22%.

The rally comes as the Iran war has darkened the outlook for European equities, with euro zone economic activity falling in May at its sharpest rate in more than two-and-a-half years.

Reuters said the STOXX 600 has fallen just over 2% since the Iran war began on February 28, while European tech shares have surged 10% and this week reached their highest level since 2000.

Iranian foreign ministry spokesman Esmail Baghaei cited a warning published in The Lancet saying damage to Iran’s Pasteur Institute from US and Israeli attacks threatens both national and regional health security.

The medical journal described the institute as a pillar of Iran’s public health infrastructure, warning that its loss would pose “a real, immediate, and dangerous threat to public health.”

“Attacking a century-old scientific and public health institution is not merely an attack on a building; it is an assault on people’s right to health, science, and life,” Baghaei wrote on X.

Acting US Navy Secretary Hung Cao said the United States paused some weapons sales to Taiwan during the war with Iran in order to preserve munitions needed for “Epic Fury.”

Speaking during a Senate hearing, Cao said foreign military sales to Taiwan had been temporarily halted while the administration ensured adequate supplies for the conflict.

Republican Senator Mitch McConnell criticized the pause, calling the situation “really distressing.”