Iran denies striking Kuwait airport, blames US Patriot misfire

Iran's Islamic Revolution Guard Corps (IRGC) on Wednesday denied firing any missile or drone at a passenger terminal at Kuwait International Airport, saying the damage to the terminal was caused by a malfunctioning U.S. Patriot missile system, according to Sepah News.

The U.S. Central Command later rejected the claim as "false" on the social media platform X, saying that Iran launched a "deliberate, calculated and unjustified attack" on the civilian airport using drones.

Kuwaiti foreign ministry said in a statement issued on the same day that one person was killed and dozens of others were injured after ballistic missiles and drones struck civilian and vital facilities across the country, including Kuwait International Airport, in attacks they attributed to Iran.

Kuwait temporarily suspended air traffic and closed its airspace following the early morning attacks.

However, the Directorate General of Civil Aviation (DGCA) later announced the resumption of all Kuwait Airways flights and Jazeera Airways through Terminals 4 and 5 at Kuwait International Airport.

The decision, posted on X, followed extensive field inspections and technical evaluations to verify operational readiness and safety.

In response to the attacks, Kuwait's Foreign Ministry said on Wednesday that it had declared two members of the Iranian diplomatic mission "persona non grata" and ordered them to leave within 24 hours. In a statement posted on X, the Kuwaiti foreign ministry said Deputy Foreign Minister Hamad Sulaiman Al-Mashaan handed an official protest note to Hamid Yaqoubi Far, charge d'affaires of the Iranian Embassy in Kuwait, over the ongoing attacks.

Al-Mashaan said the decision was taken in response to what he described as "continued and blatant" attacks involving ballistic missiles and drones, which he said violated Kuwait's sovereignty and territorial integrity, as well as international law and relevant UN resolutions.

Separately, Iran's foreign ministry on Wednesday strongly condemned overnight U.S. attacks on an Iranian oil tanker near the Strait of Hormuz and a communications tower on the southern Qeshm Island, describing them as acts of aggression and a violation of international law.

In a statement, the ministry said the strikes flagrantly violated an April ceasefire between Iran and the United States, as well as the United Nations Charter's prohibition on the use of force against sovereign states.

It denounced the United States' "colonial" use of regional countries' territories and facilities to advance "aggressive" plans against Iran, highlighting the "direct and clear" responsibility of Kuwait and Bahrain for the latest U.S. attacks.

Iran denies striking Kuwait airport, blames US Patriot misfire

The conflict in the Middle East is the principal source of inflationary pressures in the United States, largely through its impact on energy-related costs, the U.S. Federal Reserve said in its latest Beige Book released on Wednesday.

The beige book showed that economic activity increased at a slight to moderate pace for ten of the twelve Federal Reserve Districts, while one district reported a slight decline and one reported no change.

Consumer spending remained mixed across districts and increasingly bifurcated across income groups amid persistent affordability pressures, according to the beige book.

Higher-income households proved resilient and relatively insensitive to price increases, while middle- and low-income households exhibited growing financial strain, it said.

The report showed that prices rose at a moderate to strong pace overall, with most districts reporting elevated inflation relative to the prior reporting period, and the districts attributed the inflationary pressures primarily to energy-related costs linked to the conflict in the Middle East, with spillovers extending into shipping, packaging, groceries, and fertilizer.

Meanwhile, non-labor input costs continued to outpace selling price increases, fueling broader concerns about margin compression, according to the the report.

In terms of employment, the beige book reported that most districts described a low-hire, low-fire environment.

The Beige Book, officially known as the Summary of Commentary on Current Economic Conditions by the Federal Reserve District, is a survey on economic conditions based on information collected from its 12 regional reserve banks. It is published eight times per year.

Latest Fed Beige Book shows evidence of rising inflation pressure, widening consumption gap in US