This live blog follows the latest developments across the Middle East crisis, including regional diplomacy, maritime security, ceasefire negotiations, and economic fallout.
Catch up on Thursday's top developments here
- Egypt, Qatar, Turkiye condemn Israeli attacks on Gaza Strip
- MSF condemns Israeli military’s decision to close cases that killed employees
- US sanctions on Iran will 'collapse this regime': Bessent
- Syrian FM says Israel should have no say in Syrian foreign policy
- Iran calls new US sanctions 'economic terrorism', 'crimes against humanity'
Israel army, settlers kill 2 Palestinians in separate incidents
Published: Aug 21, 2026 | 11:47 GMT | by AFP
Israeli forces shot dead a Palestinian man on Friday in the city of Jenin, in the north of the occupied West Bank, with the military saying he had attempted to stab a soldier.
In a separate incident in the southern West Bank, Israeli settlers fatally shot a 17-year-old, the Palestinian health ministry said.
Iran, Iraq will never allow foreign powers to determine their future: Ghalibaf
Published: Aug 21, 2026 | 06:33 GMT | by Web Desk
Iranian Parliament Speaker Mohammad Baqer Ghalibaf said that Iran and Iraq would not allow Western powers to dictate their future, calling on the neighboring countries to translate longstanding political and security ties into greater economic cooperation and shared prosperity, according to Press Tv.
Speaking at a ceremony in Karbala, Ghalibaf said the relationship between Iran and Iraq was rooted in geography, history and shared religious beliefs. He praised the large turnout at recent ceremonies in Iraq, saying it reflected the strength of ties between the two peoples.
Western allies condemn Israeli settlement plan in sensitive West Bank area
Published: Aug 21, 2026 | 05:33 GMT | by Web Desk
France, Germany, Italy and Canada have condemned Israel’s decision to open tenders for more than 1,200 settlement homes in a strategically sensitive area of the occupied West Bank, warning that the project could undermine prospects for a future Palestinian state.
According to the BBC, the seven countries called the decision “unacceptable” and urged Israel to withdraw the plans immediately.
Hormuz shipping remains sharply disrupted
Published: Aug 21, 2026 | 05:17 GMT | by Web Desk
Commercial shipping through the Strait of Hormuz remained subdued on Thursday, with seven commodity vessels transiting the waterway, according to data from ship-tracking firm Kpler.
The figure, seen by Pakistan TV Digital, was down from 14 vessels recorded the previous day, amid continued uncertainty over regional maritime security and US-Iran diplomacy.
None of the seven vessels was a very large crude carrier or a liquefied natural gas tanker, according to the data. One very large gas carrier carrying propane and butane, however, transited Hormuz via the Iranian route.
Traffic was also lower through the Bab el-Mandeb Strait, where 23 commodity vessels passed on Thursday, compared with 34 on each of the previous two days, Kpler data showed. Of those, 16 vessels entered the waterway and seven exited.
The data showed that two of the vessels exiting Bab el-Mandeb were Suezmax tankers carrying crude oil, with the Stoic Warrior bound for Vietnam and the Dokos heading toward India. No very large crude carriers or liquefied natural gas tankers passed through Bab el-Mandeb on Thursday.
Oil, stocks reel after Trump’s ‘Economic D-Day’ plan
Published: Aug 21, 2026 | 01:45 GMT | by Web Desk
US stocks suffered a broad sell-off Thursday as President Donald Trump’s “Economic D-Day” threat against Iran pushed oil prices and Treasury yields higher. The Dow Jones Industrial Average fell about 700 points, while the S&P 500 and Nasdaq also closed lower.
Investor’s Business Daily described the session as a heavy market loss driven by rising oil prices and Treasury yields.
Market Watch reported that the Dow dropped around 700 points as the S&P 500 and Nasdaq ended lower, with the bond market remaining under pressure despite Treasury Secretary Scott Bessent’s push for larger long-term bond buybacks. The 10-year Treasury yield climbed again, adding to investor concerns over borrowing costs.
Oil prices extended their advance as markets assessed the impact of Washington’s latest pressure on Tehran and continued disruption around the Strait of Hormuz. Investor’s Business Daily reported Brent crude climbed to $94.49 a barrel, while US crude briefly reached $89 before easing.
Barron’s highlighted the inflationary risk from the oil surge, with Brent moving above $93 and WTI above $87, making the Federal Reserve’s interest-rate outlook more difficult. Energy was the S&P 500’s strongest-performing sector, while Walmart’s sharp decline after earnings added to the broader market weakness.
Seeking Alpha reported that oil prices rose for a fifth consecutive session as President Trump intensified economic pressure on Iran, underscoring how disruptions in the Strait of Hormuz are increasingly driving the energy market. The combination of higher crude prices, elevated bond yields and geopolitical uncertainty continued to weigh on investor sentiment.
UN, China push back against Trump’s ‘D-Day’
Published: Aug 21, 2026 | 01:07 GMT | by Web Desk
The United Nations warned that US President Donald Trump’s threatened “Economic D-Day” campaign against Iran could further strain the global economy, citing disruptions to shipping through the Strait of Hormuz and Bab el-Mandeb.
UN Secretary-General Spokesperson Stéphane Dujarric said the conflict was already affecting global economic activity through reduced freedom of movement in the Strait of Hormuz and navigation in the Bab el-Mandeb and the Gulf of Aden leading to the Red Sea.
“What we need is a serious return to negotiations,” the spokesperson said, warning that “an increase in kinetic activity, an increase in economic conflict, will not be good” for the global economy.
China also opposed Washington’s campaign, with Foreign Ministry Spokesperson Lin Jian saying during a press briefing in Beijing that sanctions and pressure would not resolve the crisis.
“China calls on relevant parties to take responsible measures and solve the issues through diplomatic and political means,” he added.
Iran has also seized on the United States’ record $40 trillion national debt to criticize President Donald Trump’s “Economic D-Day” campaign against Tehran. Foreign Minister Abbas Araghchi called the US economic offensive “a diversion from America’s own crisis: unprecedented debt & surging interest costs,” as Washington threatens further economic pressure on Iran.
Thursday’s important developments at a glance
Published: Aug 21, 2026 | 00:00 GMT | by Web Desk
Iran on Thursday accused the US of "economic terrorism" and "crimes against humanity," after Washington said it would ramp up sanctions to heap pressure on Tehran. The foreign ministry said that the US economic sanctions against Iran have targeted the fundamental human rights of every Iranian citizen.
US Treasury Secretary Scott Bessent said that the plan to sharply increase pain from economic sanctions on Iran aimed to "collapse" the country's government.
Separately, Brazilian Foreign Minister Mauro Vieira commended Pakistan’s constructive role and efforts towards mediation in the conflict between the US and Iran, underscoring the importance of dialogue and diplomacy for global peace and security.
During his visit to Islamabad, Syrian Foreign Minister Asaad Hassan Al-Shaibani said that “should have no say in imposing on us or telling us who are our allies and who are our partners,” stating that Syria was a “sovereign country and we decide our options in terms of making alignments or partnerships based on our national interests.”
Meanwhile, Egypt, Qatar and Turkiye strongly condemned the Israeli attacks on the Gaza Strip, which resulted in civilian casualties, including women and children, expressing deep concern over the ongoing violations.
For earlier developments, read our Aug 20 live blog here.