The United States launched a new wave of strikes on Iranian military sites this week. Iran retaliated with missile and drone attacks on Gulf states, according to reports.

US Central Command said its forces intercepted Iranian missiles and drones aimed at Kuwait, Bahrain and the Strait of Hormuz. Kuwait and Bahrain reported that their own air defences also stopped incoming projectiles. There were no injuries reported in Kuwait. Bahrain reported damage to a residential building near its airport.

Iran’s Revolutionary Guard claimed attacks on Bahrain and Kuwait. US officials rejected Iranian claims of hitting American warships. Both sides described the exchange as the other side’s escalation.

The strikes followed Iranian attacks on merchant ships in the Strait of Hormuz. The waterway carries about a fifth of the world’s traded oil and gas. Brent crude rose above $101 a barrel on the shipping attacks.

The exchange threatens efforts to end the war. Reports said Tehran wants to raise the cost for Gulf countries that allow US strikes from their soil. Watch for the next moves from Washington and Tehran.