By July 16, 2026, the United States had been bombing Iranian targets for five days in a row. A peace deal the two countries had signed about a month earlier was effectively over. The new fighting has dragged in several countries in the Gulf region, disrupted one of the world's busiest shipping routes, and pushed oil prices up for four days straight.

Things moved very quickly. On Saturday, July 11, Iran declared the Strait of Hormuz closed after hitting a ship that Reuters described as unauthorized. The US responded by striking hundreds of Iranian targets. By July 13, US military forces had used precision weapons to hit dozens of targets in multiple locations. President Trump then announced a blockade of Iran's ports starting at 2000 GMT on Tuesday, July 14, according to Reuters. A blockade is when a country uses its military to block ships from entering or leaving another country's waters.

Iran struck back across the region. Iranian forces hit a US air base in Jordan, attacked Bahrain, and struck targets in Kuwait, according to Al Jazeera and Reuters reporting through July 16. Iran also hit a cargo ship in the Strait of Hormuz, breaking the 60-day ceasefire agreement. On the American side, US forces struck an Iranian oil tanker on or around July 16. Al Jazeera reported that a US military unit disabled the tanker in the Strait. By mid-July, the US had also expanded its strikes into northern Iran, according to the Associated Press.

What Is the Strait of Hormuz and Why Does It Matter?

The Strait of Hormuz is a narrow strip of water between Iran and Oman. It is one of the most important shipping lanes in the world because a large share of the world's oil passes through it every day. Think of it as a toll booth on a highway: if the booth is shut down, traffic stops, and the goods people need don't get through.

Fewer ships are now passing through the Strait because of the fighting. Iran warned on July 16 that the Strait is a "red line" and said it would resist "until the end," according to Reuters. Iran also said it would attack regional infrastructure if President Trump attacks Iran. Trump publicly threatened to increase the strikes over the coming week, as reported by CNN. On July 13, Trump said the United States would take a 20% cut of all cargo shipped through the Strait and that the US would control the waterway.

Oil prices have jumped as a result. The price of Brent crude, which is a key benchmark for oil prices worldwide, rose for a fourth day in a row on July 16. A Reuters analysis published that same day suggested prices could go anywhere from the $60s to over $110 per barrel, depending on how the conflict plays out. Global stock markets mostly fell in mid-July during the exchanges of strikes, though oil prices did drop for at least one day during the same period.

How Did We Get Here?

The peace deal that fell apart in July was the result of a military campaign called "Operation Epic Fury," which the US launched in April 2026. The White House said the operation had crushed the Iranian threat and led to a ceasefire and Iran's agreement to reopen the Strait. An April 8 White House release described the operation as "Peace Through Strength." On April 21, the State Department's legal office published a defense of the operation, pointing to what it called a "clear pattern of unprovoked Iranian aggression" and attacks on Israel as the reason for it.

In June, the White House published a release titled "President Trump's Iran Agreement Is America First in Action," claiming the deal would ensure Iran never gets a nuclear weapon and would reopen the Strait to free shipping. On June 25, the US and the Gulf Cooperation Council, a group of six Gulf countries, issued a joint statement stressing the importance of reopening the Strait and keeping it open to all ships.

The April campaign included a strike on Iran's Fordow Fuel Enrichment Plant, a facility where Iran works on enriching uranium, a material that can be used for nuclear energy or nuclear weapons. The strike used 30,000-pound bombs called GBU-57 massive ordnance penetrators, which are designed to destroy targets buried deep underground, according to a Defense Department article. Trump had warned as far back as June 2025 that closing the Strait would be "economic suicide" for Iran.

Sanctions: Another Form of Pressure

The US has also been using sanctions, which are penalties that cut a country or group off from international trade and banking. On July 14, the State Department published a release about dismantling what it called an illicit shipping network tied to an Iranian official named Shamkhani. The next day, another release focused on people who help Iran's Revolutionary Guard Corps, a powerful branch of Iran's military, obtain weapons. That release said Iran continued to threaten ships in the Strait. Reuters reported that vessels linked to Iran had passed through the Strait shortly before the US imposed its blockade, around June 18.

The bigger picture is how fast all of this fell apart. A ceasefire signed in June came with claims from the White House that Iran would never get a nuclear weapon and that the Strait would stay open. Within weeks, Iran had declared the Strait closed, the US had imposed a blockade, both sides were trading strikes, and fewer and fewer ships were willing to sail through the Strait. The gap between what the deal promised and what is actually happening on the ground is the heart of this story.