Iran vows zero tolerance to aggression, rejects Trump's claim on Kharg Island

The General Staff of Iran's Armed Forces issued a statement on Monday, affirming that while respecting the national sovereignty of its neighbors, Iran will not tolerate any acts of aggression and will respond to such acts with even greater force.

The Iranian military noted in the statement that despite formal announcements by several countries in the Middle East to bar hostile U.S. forces from using their territory to strike Iran and the prior warnings issued by Tehran, the U.S. troops have still launched attacks against certain Iranian military sites from their soil.

The statement emphasized that the U.S. forces have no choice but to withdraw from the region, and that the parties facilitating the U.S. aggression against Iran should understand that all branches of Iran's armed forces will stand united to confront and eliminate any source of aggression.

Meanwhile, an official with the National Iranian Oil Company (NIOC) said on the same day that U.S. President Donald Trump's claim that Kharg Island had been destroyed was "ridiculous," adding that oil-related operations on the island have never paused.

Trump previously shared an AI-generated video on social media showing explosions tearing through oil facilities on Kharg Island, a major oil hub for Tehran.

"Kharg Island being blown to smithereens!!!" Trump wrote on his Truth Social platform.

The benchmark 10-year U.S. Treasury yield rose to a 19-month high on Monday as renewed U.S.-Iran hostilities lifted oil prices and intensified inflation concerns, adding to pressure on the U.S. government's borrowing costs.

The yield climbed as high as 4.76 percent in intraday trading on Aug 31, its highest level since Jan 15, 2025, according to market data.

The rise followed the U.S. strikes on Iranian rocket launchers on Larak Island near the Strait of Hormuz. Iran said it later carried out retaliatory strikes on U.S. military targets in Jordan and the United Arab Emirates.

Brent crude, the global oil benchmark, rose 2.71 percent to settle at 90.49 U.S. dollars a barrel, adding to concerns that higher energy costs could keep inflation and U.S. interest rates elevated.

Long-term Treasury yields have risen in recent weeks, increasing the cost of issuing and refinancing U.S. government debt.