New Iranian missile salvo over Jerusalem

The Israeli army announced this Monday the detection of a new salvo of missiles launched by Iran , which the anti-aircraft defense was trying to intercept, but several explosions were heard in Jerusalem.

“A short time ago, the army identified missiles launched from Iran towards the territory of the State of Israel” and “defense systems are activated to intercept the threat,” the army said in a statement, urging the population “to head to a protected area and remain there until further notice.”

AFP witnessed loud explosions in Jerusalem early Monday morning as open hostilities between Israel and Iran entered their fourth day on Monday with no signs of abating, fueling fears of a wider war in the oil-rich region.

Iran has fired several waves of drones and missiles in the past 24 hours, while Israel struck the Islamic Republic's capital Tehran, killing another senior military official , the head of its intelligence services.

Since Friday, 224 people have been killed in Iran, according to the country's government, which said civilians accounted for the majority of the victims. The Iranian strikes have killed 14 people and injured about 400, according to Israeli emergency services.

Tensions between the two countries erupted into direct conflict on Friday when Israel launched surprise strikes on Iranian military and nuclear facilities. The war has since been characterized by Israeli air superiority and has exposed the limitations of Tehran's ability to respond effectively.

Iranian-backed forces in the region have also been largely deterred by Israeli action.

The open conflict emerged as Iran and the United States had been negotiating a deal over Iran's nuclear program for weeks.

US President Donald Trump said on Sunday that Iran and Israel “must come to an agreement and will come to an agreement.” “We will have PEACE soon between Israel and Iran!” he said on his Truth Social social media account. “Many phone calls and meetings are taking place,” he added. Trump then said in comments to the media that “but sometimes they have to fight.”

Jerusalem, according to the head of the Israeli government, is engaged in an “existential campaign”, in the words of Benjamin Netanyahu when visiting the site of a missile attack on the coastal city of Bat Yam, also on Sunday. “Iran will pay a very heavy price for deliberately murdering our citizens, women and children” , he threatened.

The exchange of accusations weighed on financial markets, with shares in Saudi Arabia, Egypt and Qatar falling on Sunday. The Egyptian pound weakened about 1.8% to more than 50 per dollar in local trade. Shares of Israeli companies rose, led by defense firm Elbit Systems Ltd.

Investor caution elsewhere was also visible as trading resumed this morning in Asia, although the magnitude of moves outside the energy sector remained relatively contained.