AMNA NAWAZ: Welcome to the "News Hour."

The U.S.

and Israel's war with Iran is now in its 10th day.

And the global economy is preparing for major blowback, as weekend attacks on oil infrastructure spiked prices globally.

GEOFF BENNETT: But President Donald Trump today insisted the war is -- quote -- "very complete," adding the U.S.

is ahead of his four-to-five-week estimated time frame for the conflict.

Our special correspondent Leila Molana-Allen is in the Gulf and starts our coverage.

LEILA MOLANA-ALLEN: In Tehran, thick toxic plumes of smoke coat the embattled nation's capital days after an Israeli airstrike targeted a crucial oil depot in the north of the city, igniting a fire so massive, its flames glowed in the evening skyline miles away.

The Israeli air force also struck two other oil depots over the weekend, sending burning oil running into residential neighborhoods across the city, as homes burst into flames and killing at least four tanker drivers, according to Iranian state media.

Today, Iran's military spokesperson warned of the market repercussions.

LT.

COL.

EBRAHIM ZOLFAGHARI, Iranian Military Spokesperson (through translator): Otherwise, similar actions will take place in the region.

And if you can handle a barrel of oil over $200, keep playing this game.

LEILA MOLANA-ALLEN: Since the war began over a week ago, the price of oil has continued to spike, briefly at almost $120 per barrel today.

Last night, President Donald Trump brushed off concerns, posting on TRUTH Social - - quote -- "Short-term oil prices, which will drop rapidly when the destruction of the Iran nuclear threat is over, is a very small price to pay for USA and world safety and peace.

Only fools would think differently."

But international concern remains rife.

TIM OECHSNER, German Capital Markets Expert (through translator): The longer the war continues, the greater the concerns about inflation and growth will naturally become, especially as long as oil prices remain high.

LEILA MOLANA-ALLEN: But the price of war is much greater.

An Iranian strike in Central Israel today killed at least one civilian and injured two.

And Iran today announced a new wave of its military operation, showcasing a missile launch.

Meanwhile, the United States and Israel struck three Iranian ships in the Persian Gulf, leaving this Iranian vessel in flames off the port of Bandar Abbas in the southeast.

As the conflict spreads across the Middle East, the U.S.

State Department urged Americans in Saudi Arabia to -- quote -- "strongly consider departing" and avoid the U.S.

Embassy and U.S.

Consulate.

This comes a week after an Iranian drone struck Riyadh's U.S.

Embassy compound and just a day after the U.S.

Central Command confirmed a seventh American service member was killed during an Iranian attack on a Saudi Arabia base last week, 26-year-old Army Sergeant Benjamin Pennington from Kentucky.

Meanwhile, in Tehran, grief and anger engulfs families gathering to bury their loved ones killed in airstrikes across the city.

ZAHRA MASROOFI, Bereaved Relative (through translator): What sin had my children committed?

My children still had dreams.

LEILA MOLANA-ALLEN: But the streets, in spite of the constant bombardment, also hosted a celebration, with a new supreme leader emerging.

MAN: Mojtaba Khamenei.

(CHEERING) LEILA MOLANA-ALLEN: Mojtaba Khamenei, named 10 days after the killing of Ayatollah Ali Khamenei, his father, the choice echoing the kind of hereditary rule the Islamic Republic purported to replace.

Pro-government supporters chanting "Death to Israel" say they stand behind the revolution.

ABBAS ALI SAEEDIPOOR, Tehran Resident (through translator): America and Israel, you have failed and you will drown in the swamp you are stuck in.

LEILA MOLANA-ALLEN: The 56-year-old expected to continue his father's hard-line approach.

President Donald Trump calling him an unacceptable choice, telling NBC today -- quote -- "I think they made a big mistake."

Just a year ago, Mojtaba Khamenei's appointment as his father's successor seemed deeply unlikely.

But the killing of his parents, wife and son in U.S.-Israeli strikes last week makes him a symbolic figurehead for pro-regime supporters and sends a firm message to Donald Trump, who declared he wanted a hand in choosing the next leader, about the inviolability of Iran's sovereignty.

In the vacuum left since his father's death, analysts say power has swung even further into the hands of the military establishment, so the new supreme leader's close ties to the all-powerful IRGC may also have spurred the choice.

For the "PBS News Hour," I'm Leila Molana-Allen in Doha, Qatar.