Iran’s warning that it would target US-linked banking interests rang true, with debris from an intercepted drone damaging the outside of a building in the Dubai International Financial Center (DIFC). The higher floors of DIFC’s Innovation One tower took visible hits, including smashed-in windows.

Iran continued its heavy bombardment over the weekend, with air defenses shooting down nine missiles and 33 drones on Saturday, state news agency Wam reports. Yesterday, the air defenses intercepted four Iranian ballistic missiles and six drones, the Defense Ministry said in a statement on X.

Oil and gas

Oil loading at Fujairah is back online after a drone-sparked fire briefly halted operations on Saturday, Bloomberg reports, citing people it says are familiar with the matter. While the Fujairah media office confirmed civil defense forces contained the fire with no reported injuries, authorities have not yet provided a timeline for a full return to operations.

It’s not just Fujairah: Massive fires broke out in fuel storage tanks at Oman’s Salalah Port on Wednesday after a coordinated drone strike.

IN CONTEXT- Iran issued an evacuation order for three major ports in the UAE — including Fujairah port — which, it said, had been previously used by US forces to launch strikes on Iran despite not being US assets, Fortune reports. The move marked the first Iranian threat toward non-US assets. However, no attacks have been reported so far at either Dubai’s Jebel Ali port or Abu Dhabi’s Khalifa port.

One takeaway: No oil tankers were present at the port’s oil loading points at the time, which says something about demand and access. Fujairah sits outside Hormuz and is connected to Abu Dhabi’s oil fields by a pipeline, allowing Murban crude exports to bypass the strait.

Still, activity in Fujairah continued shortly after: An Indian oil tanker safely departed for India from Fujairah with 80.8k tons of the UAE’s Murban oil, Reuters reports, citing India’s Petroleum and Natural Gas Ministry. The ministry said 22 Indian vessels remain stranded west of the Strait of Hormuz, while two state-owned LPG carriers successfully transited the strait over the weekend after Iran allowed them passage, delivering fuel to Indian ports.

PLUS- Adnoc is cutting its onshore shipments: In a strategic shift to bypass the Strait of Hormuz — which has come to a virtual standstill — Adnoc has reportedly cut onshore crude shipments to its equity partners by 20% this month.

Financial services

Citi is addressing the rumors: Citi issued a clarification following recent speculation regarding its Middle East operations, stating that its offices and branches remain undamaged by the regional war, according to the group’s website.

The group also noted it will continue to serve its regional clients, with no intention of leaving the Middle East, according to a post on X. The decision to evacuate their offices came out of concern for employee safety, the statement read, and was followed by a temporary closure of its local branches.

Elsewhere in the region

Our overseas consulate in Iraqi Kurdistan was once again struck in an Iranian drone attack for the second time in a week, which resulted in the injuries of two security personnel and damage to the consulate building, according to a press release. The Foreign Ministry condemned it as an “unprovoked terrorist attack and a flagrant violation of international norms and laws,” calling on Iraq’s government to investigate the attack and hold the perpetrators accountable.

US President Donald Trump has stated that Iran is seeking a truce to end the war, but the US rejected the request, asking for “better terms” without clarifying what the terms are, Bloomberg News Now reports (listen, runtime: 5:02). Trump also called on allies, including China, Japan, France, South Korea, and the UK, to deploy warships to keep the Strait of Hormuz open.

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