US Strikes Iran Near Strait of Hormuz; Iran Retaliates Against US Base in Kuwait

Here's what's going on in the Middle East right now — and yes, it affects you, especially if you've noticed gas prices creeping up.

The big picture: The U.S. and Iran have been in a fragile, on-again-off-again conflict since late February 2026, when the U.S. and Israel launched strikes against Iran. Iran struck back at U.S. military bases and energy infrastructure across the region, and a ceasefire was eventually agreed in April. Since then, both sides have been trying to negotiate a formal deal — but the shooting hasn't fully stopped.

The latest flare-up: The U.S. military launched a series of strikes near the Strait of Hormuz, with U.S. Central Command claiming it carried out the actions as "self-defense strikes" to protect U.S. troops from threats posed by Iranian forces. Specifically, U.S. Central Command forces shot down four Iranian one-way attack drones that posed a threat around the Strait of Hormuz, and the U.S. military also struck an Iranian ground control station in Bandar Abbas that was about to launch a fifth drone.

Iran didn't let that slide. Iran's Islamic Revolutionary Guard Corps (IRGC) said it struck a base used by U.S. forces in response to the U.S. attacks, stating that "the American air base that served as the source of the attack was targeted at 4:50 am." The IRGC didn't specify the base's location, though Kuwait's military said its air defenses were responding to an "enemy" attack. Later, the U.S. army confirmed Iran had launched a ballistic missile toward Kuwait that was "successfully intercepted."

So why does any of this matter to you personally? Because the Strait of Hormuz — the narrow waterway between Iran and the Arabian Peninsula — is the passage through which roughly a fifth of the world's oil flows every day. Traffic has largely been at a standstill in the strait since Iran moved to exert control over it in retaliation for U.S. and Israeli strikes. The disruption of the waterway has squeezed countries in Europe and Asia that depend on Persian Gulf oil and gas, raising prices far beyond the region. That means higher gas prices at the pump and more expensive goods on store shelves — pretty much anywhere in the world.

Despite the exchange of fire, both sides are technically still talking. A high-level Iranian delegation arrived in Qatar to discuss roadblocks to a permanent peace deal, with Iranian Foreign Minister Abbas Araghchi and Parliament Speaker Mohammad Bagher Ghalibaf reportedly included in the delegation. U.S. officials say a deal has been agreed "in principle" with Iran to reopen the Strait of Hormuz, and the deal would lead to Iran reaching an agreement to dispose of its enriched uranium stockpile — though how that would be done remains under discussion.

Trump, meanwhile, is juggling a lot. The president is looking for a settlement that will reopen the Strait of Hormuz and provide him with a credible argument that Iran's nuclear capability has been diminished enough to declare victory, winding down a conflict that's been politically unpopular for Republicans. Trump also reinforced his call that the deal should include a requirement for several additional countries — including Kuwait, Saudi Arabia, Qatar, and Pakistan — to join the Abraham Accords, the U.S.-brokered agreements aimed at normalizing diplomatic and economic relations with Israel.

Bottom line: The ceasefire is holding — barely. Both sides keep taking shots at each other while simultaneously negotiating. It's a tense, messy situation, and the outcome will have real ripple effects on energy prices and global stability.