News Buzz: Iran War Talk, Attack in Jerusalem, and More

Iran's oil minister warned today that an attack on his country would provoke a fierce response. But Minister Gholam Hossein Nozari said that even if struck by Israel or the United States, Tehran would not cut oil deliveries. Tehran "is not going to be quiet" if attacked, Nozari told reporters. It's "going to react fiercely, and nobody can imagine what would be the reaction of Iran," he added. Over the weekend, the commander of Iran's Revolutionary Guards said that Tehran would respond to an attack by barraging Israel with missiles and could seize control of a key oil passageway in the Persian Gulf, the Strait of Hormuz. Oil experts fear that an attack on shipping through the vulnerable strait, or even the serious threat of attack, would seriously disrupt oil shipments and send oil prices soaring. In a statement aimed at reassuring the oil market, a senior U.S. military commander asserted that Washington would not allow that to happen. And President Bush sought to tamp down the growing war talk on Tuesday, telling a news conference that the "first option" is a diplomatic solution to the crisis over Iran's nuclear program.

Attack in Jerusalem

The Palestinian driver of an enormous construction vehicle rammed into cars, buses, and pedestrians in central Jerusalem today, killing at least three people and wounding at least 45 before he was shot dead by security officers. Wreaking havoc in the heart of downtown, on the busy Jaffa Street, the violence marked the first major attack in Jerusalem since March. Hundreds of people fled in panic through the streets as medics treated the wounded. Three Palestinian militant groups took responsibility for the attack, but the claims could not be independently verified. Israeli police referred to the attacker as a "terrorist" acting on his own, and said he was a bulldozer operator who worked in the area for a local construction firm.

A Sign of the Times: Starbucks Retrenches

Starbucks Corp. announced that it will close 600 company-operated stores in the next year as the faltering U.S. economy hastened the pain caused by the company's own rapid expansion. Starbucks shares, which have been falling steadily for nearly two years, moved up slightly in morning trading. Seattle-based Starbucks did not say which stores will be closed, only that they are spread throughout the country. But it did say 70 percent of those slated for closure had opened after the start of 2006. About 12,000 workers, or 7 percent of Starbucks' global work force, will be affected by the closings, which are expected to take place between late July and the middle of 2009, spokeswoman Valerie O'Neil said.