Iran's Revolutionary Guards on Sunday, May 3, warned that the United States faces a choice between an "impossible" military operation or accepting what it called a "bad deal" with Tehran, as tensions escalate over the naval blockade.
In a brief statement carried by state television, the Guards' intelligence arm said Washington must choose between the two options.
It also cited what it described as shifting positions from China, Russia and Europe, and referred to an Iranian "deadline" linked to the blockade.
Israeli army says two Hezbollah fighters killed in south Lebanon
The Israel Defense Forces (IDF) said on Sunday it had killed two armed Hezbollah fighters operating south of the Forward Defence Line, claiming they posed an "imminent threat" to its troops.
The military added that additional fighters identified inside nearby buildings were also targeted and killed in a subsequent strike after being assessed as a threat.
OPEC+ raises output quotas after UAE exit
Saudi Arabia, Russia and five other OPEC members on Sunday increased oil production quotas, maintaining policy continuity after the United Arab Emirates' exit.
Markets had largely anticipated the move, which signals the group's intent to keep supply steady despite ongoing geopolitical uncertainty.
Israel approves new fighter jets
Israel's ministerial committee for equipment has approved a plan to acquire two new combat squadrons of advanced fighter jets, including F-35 and F-15IA aircraft, in a deal valued at tens of billions of shekels, the defence ministry said, according to Reuters.
Hezbollah rejects Israel talks as strikes continue despite ceasefire
Hezbollah has rejected ongoing negotiations between Lebanon and Israel, with senior lawmaker Hassan Fadlallah saying the outcomes "do not concern us" and warning the group could "thwart" the objectives of the talks.
The comments come amid rare US-backed engagement between Beirut and Tel Aviv, aimed at ending hostilities after months of cross-border fighting. Hezbollah, however, has consistently opposed such negotiations, with its leader Naim Qassem previously describing them as a "sin".
Sarv Shakti first India-linked LPG tanker to cross Hormuz
An India-linked liquefied petroleum gas (LPG) tanker has completed the first observed transit through the Strait of Hormuz since a US-led blockade sharply curtailed vessel movement, signalling a limited reopening of a key global energy route.
The Marshall Islands-flagged Sarv Shakti, carrying about 45,000 tonnes of LPG, passed Iran's Larak and Qeshm islands before entering the Gulf of Oman, according to Bloomberg-cited ship-tracking data. The crossing follows weeks of near-zero traffic through the strategic waterway.
Oil revenue losses and evasion
US enforcement targeting sanctioned exports has cost Iran an estimated USD 4.8 billion in oil revenue, according to Axios citing Pentagon figures.
In a separate development, a National Iranian Tanker Company supertanker carrying crude worth about USD 220 million is reported to have reached the Asia-Pacific after halting tracking transmissions and navigating via Southeast Asian routes.
Iran submits 14-point plan to end war with US, Trump sceptical on outcomeUS position on Hormuz operations
Trump said the United States has the Strait of Hormuz under "total control" and described ongoing naval actions as a success, while also likening the seizure of vessels and cargo to the work of "pirates" during a public address.
Commercial vessels halted in the Strait of Hormuz amid a shipping standstill on April 19, 2026. Photo: X
Strikes and warnings in Lebanon
Israeli airstrikes in southern Lebanon over a 24-hour period reportedly killed at least 41 people. The Israeli military also issued evacuation orders on Sunday (May 3), directing residents in several border areas to move at least 1,000 metres away from locations linked to Hezbollah.
Iran to preserve damaged university site
Authorities said a strike-hit facility at Isfahan University of Technology will be converted into a war museum, while reconstruction will take place at an alternative location. Initial damage has been estimated at around USD 11 million, with multiple academic sites affected during the conflict.
Diplomatic and oil market developments
The White House has appointed Nick Stewart as an adviser to the negotiating team led by Special Envoy Steve Witkoff.
Separately, seven OPEC+ members are set to decide production levels following the UAE's exit from the group, with traders expecting an increase of about 188,000 barrels per day.
Missile programme in focus
Trump said he would favour eliminating Iran's remaining missile production capabilities as part of efforts to limit its future military capacity.