Israel and Iran have traded attacks for a fifth night, with explosions heard in Tehran and over Tel Aviv. Meanwhile, Donald Trump has cut short his G7 visit over the crisis. Follow the latest.
Tuesday 17 June 2025 09:12, UK
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By James Sillars, business and economics reporter
There are signs global stock markets are starting to reflect greater risk due to the Israel-Iran conflict.
Hopes of a quick resolution appear to have faded since Donald Trump, while suggesting he was working towards a broad peace agenda, urged Iranian civilians to evacuate Tehran.
At the same time, Israel has vowed to maintain its attacks.
European stock markets, including the FTSE 100, were broadly lower by more than 0.5% at the open today.
The falls swiftly erased tentative gains seen in the previous session. Within the FTSE, only six stocks were in positive territory.
US futures also showed that gains made yesterday were to come under pressure.
Brent crude oil costs remain about 7% up since Israel's attacks began.
It's trading just shy of $74 a barrel and is up by almost 1% on yesterday's session.
The lower price, when compared with Friday's highs, reflects the fact that the tit-for-tat aerial attacks between Israel and Iran have yet to affect oil flows.
As Israel strikes Iran, it continues its operations against Hamas in Gaza.
Israeli tank fire has killed about at least 45 people in Khan Younis in the south of the besieged enclave, according to the Hamas-run health ministry.
Hundreds of others had been injured, it said, adding that emergency rooms and operating theatres at the Nasser Hospital in the city were severely overcrowded.
Iran has warned that a wave of drones will hit Israel in the coming hours.
A senior army commander has said that attacks will intensify this morning.
Israel and Iran are trading strikes for a fifth day, with explosions reported in Tel Aviv, in central Israel, and Herzilaya, just north of the city.
In the western Iranian province of Lorestan, an MP reported at least 21 people had been killed in Israeli strikes overnight, while an attack in the central city of Kashan killed three people, according to local media.
Israel's fire and rescue service says a missile has hit a part of the Dan District, an area stretching from Tel Aviv to surrounding cities.
The service said it received "numerous calls" about a rocket strike and a fire in a bus car park but reported no casualties.
Separately, Israel's paramedic service Magen David Adom said 10 people were injured "on their way to a shelter" after sirens sounded a short time ago.
Israeli attacks and Donald Trump's rhetoric are reinforcing unity and a "culture of resistance" among Iranians, a Tehran professor has told Sky News.
Foad Izadi told Breakfast presenter Wilfred Frost that a relative who had been intending to flee Tehran changed her mind out of defiance when the US president ordered people to flee.
"I'm in the middle of Tehran, you know, there is this culture of resistance here," he says.
The continuing attacks, and Trump's support of them, have inflamed feelings even among the dissatisfied and disillusioned in Tehran.
"People are upset, even people who don't like the current government," he says.
"They like their country, there is this rally-around-the-flag effect, and people resisting, so resisting Trump.
"Yes, there was dissatisfaction with the government, but even people who don't like the government, they don't like their country's infrastructure being attacked.
"They don't like women and children to be killed on a daily basis.
"They don't like this type of behaviour that you have to do whatever we tell you to."
These pictures show the scene after massive explosions were heard moments ago in Herzilaya, which is just north of Tel Aviv.
It's not yet clear what was struck.
By Cordelia Lynch, Sky News correspondent in Israel
Cups of coffee are being carefully poured into small paper cups, each one served with a comforting embrace.
Close by, huddled under an arched courtyard, women of all ages are sitting, grieving in their own way.
Some are sobbing, others look dazed, others desperate.
Their intermittent wails of grief puncture the silence. Yet there's a beautiful stillness about it all.
We've arrived just at the moment that the Israeli city of Tamra has come to a standstill.
Everyone here is waiting for the bodies of four members of the Khatib family to return, killed when a ballistic missile from Iran hit their home on Saturday night.
Manar Khatib was killed alongside two of her daughters - 20-year-old Shada, and 13-year-old Hala - and her sister-in-law, also called Manar.
Layan Diab, 23, is a cousin of the girls. She's in disbelief.
"It's a deep loss. It hurts my soul. We lost our entire family. Four people here. I can't fathom it. I don't understand. It's unbelievable," she says. And she's fearful of the coming days.
"Every time we hear the sirens, people start to scream and remember," she says.
Just down the street is the girls' grieving father, Raja Khatib.
A lawyer with a charming warmth, he starts to speak Italian, assuming we may be from Italy.
He'd just returned from a holiday there with his wife and children in Ferrara.
His eyes fill with tears as he says that if only he'd stayed a day longer, they would all be alive today.
'I feel terrible. I feel fire in my body鈥� I hope that I will survive this moment. I've lost my family, but for what? A missile from Iran?"
According to the Iranian Labour News Agency, an Iranian MP has reported 21 people have been killed in Lorestan, in the west.
The MP is quoted as blaming "infiltrators", rather than direct actions from Israel.
"The Zionist regime has used infiltrators, and most of the actions we see across the country are by these individuals rather than the Zionist regime," he said, without clarifying further.
It's not clear who or what exactly he means by "infiltrators".
Israel's military earlier said it has carried out "extensive" strikes in western Iran.
Israel has struck targets across Iran since Friday, from nuclear sites, to energy infrastructure and the capital Tehran.
While it has hit some key nuclear sites, one, Fordow, is buried inside a mountain and remains out of Israeli reach for now.
Meanwhile, Iran has penetrated Israel's Iron Dome, hitting central and northern cities.
With fighting continuing for a fifth day, our international affairs editor Dominic Waghorn talks us through each of the biggest attacks so far...
Donald Trump has got Iran where he wants them, our US correspondent James Matthews says, after the president left the G7 summit early.
Matthews says Trump is looking at a "busy day at the White House" after the US leader waded into the fighting between Iran and Israel.
However, there's "suspicion surrounding him both in Israel and in Iran", Matthews says, adding Trump has positioned himself into a "good place".
He goes on: "It's a place he wanted to be, where he's got Iran back at the negotiating table, having changed the rules of engagement.
"There's really a threat hanging over them, and the threat, of course, is of the US joining in this Israeli action.
"Israel wants the US bunker-busting weaponry that Donald Trump is holding back at the moment.
"But that's a threat hanging over the Iranians."
