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Iran Names New Supreme Leader as War Escalates, Gas Prices Soar; Trump Says Next Leader Won't Last Long Without His Support; Soon, NYPD to Give Update After Another Suspicious Device Found. Aired 7-7:30a ET

Aired March 09, 2026 - 07:00   ET

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.

[07:00:00]

JOHN BERMAN, CNN ANCHOR: Breaking news, oil anxiety, prices surge overnight with refineries on fire in the Middle East, shipping traffic frozen. This as the U.S. weighs in on Iran's new supreme leader.

SARA SIDNER, CNN ANCHOR: A federal terrorism investigation underway this morning in New York after homemade bombs were tossed and discovered during protest outside the mayor's home. CNN has learned the two suspects said they were inspired by ISIS.

KATE BOLDUAN, CNN ANCHOR: And remarkable video of a couple jumping in after a driver's passed out behind the wheel. What all happened there?

I'm Kate Bolduan with John Berman and Sara Sidner. This is CNN News Central.

BERMAN: And the breaking news this morning, there is a new supreme leader in Iran, a new high for gas prices in the United States this year, and a new sense of oil panic in some quarters. Average gas prices have now climbed to $3.48 a gallon. That is the highest of the Trump presidencies. Oil hovering $100 a barrel this morning, they're actually much higher at points overnight. This has stock markets very jittery this morning. We're going to keep our eye on that all morning long.

This as Mojtaba Khamenei has been chosen under as Iran's new supreme leader. He succeeds his father, the ayatollah, Ali Khamenei, who was killed at the beginning of the war. President Trump has said the choice is unacceptable and is not going to last long. Iran now says there will be no negotiations while the, quote, aggression continues.

Across the Middle East, multiple attacks have targeted refineries sending oil and gas prices soaring. We have new images out of Bahrain showing a huge fire and plume of smoke rising in the air. That country's state energy company declared force majeure, basically releasing it from contracts. That is a major development.

Inside Iran, a rocket engine production facility and several long- range missile ballistic launch sites were hit. CNN's teams on the ground in Iran reported hearing several thuds in Tehran. Oil installations inside that country hit over the weekend as well. We also learned from U.S. Central Command that a seventh U.S. soldier died from injuries received during an attack in Saudi Arabia on March 1st.

CNN, inside Iraq, across the Middle East and here in the United States, we want to begin with CNN's Nic Roberson live in Riyadh this morning, in Saudi Arabia, where, Nic, the US has ordered -- you know, the State Department ordered U.S. officials to leave Riyadh overnight.

NIC ROBERTSON, CNN INTERNATIONAL DIPLOMATIC EDITOR: Yes, all non- essential staff and families, not just from Riyadh, but the consulate in Jeddah and the one in the east of the country in Dammam because of safety risks. That was the reason given. And this elevates last week, they'd said, that people could leave given the option to leave if they wanted. This is now mandatory. They must leave.

We have very few details so far about the death of the U.S. service person here in Saudi Arabia. We know they were injured in an attack on March 1st. We understand that they passed away over the weekend. Precisely where this incident happened isn't clear. We do know a large number of U.S. service personnel are located in the Prince Sultan Air Base just outside of Riyadh, which has been a continued focus of Iranian strikes indeed in the last 12 hours or so, several ballistic missiles fired at it, intercepted there.

And a very strong message and warning, if you will, from the Saudi Ministry of Information today towards Iran, the timing of this message, it's not saying it's directed specifically at the new Iranian leadership, the new supreme leader, but it's very, very clear, continued attacks, they say, will represent a further escalation and it will impact bilateral relations now going forward. Continued attacks do not reflect wisdom, they say here, and will not serve the interest of avoiding a widening escalation in which Saudi Arabia says Iran would be the greatest loser.

Saudi Arabia has tried to stay out of this conflict, doesn't want to get drawn in.

[07:05:03]

Their energy infrastructure is vulnerable. Iran continues, even in the last few hours today, to try to target oil fields here in Saudi Arabia. This is very strong diplomatic messaging. Saudi is saying, if Iran continues, the conflict would escalate and widen and that Iran would be the greatest loser. This is very strong language.

BERMAN: Unusual language from Saudi Arabia as well.

Nic Robertson, great to have you there and Riyadh, you and your teams, please stay safe. Sara?

SIDNER: All right. This morning we are standing by for reaction from President Trump to Mojtaba Khameini being named supreme leader of Iran. The president said earlier on Sunday that whoever was named would, quote, not last long without his approval. Those comments coming as he says, the war itself will end when he, along with Israel, decide it's over.

Let's go right now to CNN's Kevin Liptak at the White House. What are you hearing from Trump this morning or overnight?

KEVIN LIPTAK, CNN SENIOR WHITE HOUSE REPORTER: Yes, and I'll -- yes. I'll tell you the reaction to the elevation of Mojtaba Khamenei to supreme leader has not been positive. President Trump said that he was, quote, not happy. He said that in a phone call with Fox News. And remember, it was just last week the president said that if the son of the former supreme leader was elevated to that job, he would consider it unacceptable and that he expected to have a say in whoever Iran chose to take that position. He said if he doesn't get approval from us, he's not going to last very long.

And, clearly, the Iranian regime did not seek President Trump's approval in all of this. So, it is, I think, a repudiation of the president here. You know, one regional diplomat told me it was, quote, a direct rebuke of President Trump. And, certainly, it doesn't suggest that there's any compromise or any off-ramp to be had at the moment, suggesting that this conflict could go on for quite some time, which is in fact what we heard from the defense secretary, Pete Hegseth. He was sitting for an interview with 60 Minutes last night. He said the war is, quote, only just the beginning, said the U.S. was planning to step up its attacks now as this conflict enters a second week.

He was also asked about this prospect that President Trump has not ruled out of sending boots to the ground in Iran. Listen to what he said on that front.

(BEGIN VIDEO CLIP)

PETE HEGSETH, SECRETARY OF DEFENSE: People ask boots on the ground. No boots on the ground. Four weeks, two weeks, six weeks, go in, go in. President Trump knows. I know you don't tell the enemy, you don't tell the press, you don't tell anybody what your limits would be on an operation.

We reserve the right. We would be completely unwise if we did not reserve the right to take any particular option, whether it included boots on the ground or no boots on the ground.

(END VIDEO CLIP)

LIPTAK: Now, one potential mission for American boots on the ground, if the president chose to go that route, would be to try and retrieve Iran's stockpiles of highly enriched uranium, their deep underground underneath one of those nuclear sites that the U.S. bombed back in June. This would presumably involve special operations commandos and would occur, you know, most likely once Iran's defenses have been degraded.

President Trump acknowledged this was something he was thinking about over the weekend. He said, quote, it's something we could do later on. We wouldn't do it now. Of course, something like this would be extraordinarily risky in a conflict that has already cost seven American service members their lives. Hegseth saying on 60 Minutes that, quote, there will be more casualties. Sara?

SIDNER: All right, Kevin Liptak on all of the new details from the White House for us this morning. Kate?

BOLDUAN: Oil prices surging, over $100 a barrel. How high could they actually go in the midst of this war and what does it mean for U.S. gas prices? Look where they stand now, already up by more than 16 percent since the war with Iran began.

And two men are in custody this morning after someone threw an explosive device outside the official residence of the New York City's mayor. New reporting today now about a third device.

And a woman accused of shooting at Rihanna's home now under arrest. What we're learning about the scary situation.

(COMMERCIAL BREAK)

[07:10:00]

BOLDUAN: So, oil prices have surged now to a four-year high over the disruptions and fears caused by the war with Iran. WTI, the U.S. benchmark, has pushed past $100 a barrel for the first time, and it's the first time it's crossed that mark since Russia invaded Ukraine four years ago in 2022. A senior Iranian official tells CNN now that the war has entered a new phase now after Israel attacked oil and fuel depots in Iran this weekend.

There's also new video showing smoke just rising from an oil refinery in Bahrain after an Iranian drone attack. These attacks on gas and oil infrastructure, which you can see, we're going to show you mapped out here that are happening now, as you can see, throughout the region, which is one of the big concerns how far and wide this is spreading. And this has helped drag down markets around the world.

We're going to show you how oil production moves and flows through the region. The conflict is effectively, as we've discussed, brought to a halt the flow of oil through the Strait of Hormuz, and the head of the IMF now says a persistent 10 percent increase in oil prices could lead to a 40-point increase in global inflation.

[07:15:13]

G7 finance ministers, they're now planning to meet to discuss a potential joint release of strategic oil reserves because the crisis is upon us now, it appears.

CNN's Mike Valerio joining us now for a closer look at what all is happening with this. Mike, what are you seeing?

MIKE VALERIO, CNN CORRESPONDENT: Well, Kate, I think with the markets on this side of the world, it was a wild day through financial channels in Asia. What we saw today, the cost being down nearly 6 percent in Seoul, the Nikkei in Tokyo down 5.2 percent. They were essentially signaling this that all Americans need to pay attention to. There was the feeling and the fear through financial channels in Asia that if the G7 and the administration, like you were just talking about, don't do something about ships going nowhere fast in the Strait of Hormuz, that economic powerhouses here in Asia could have a huge slowdown or face paralysis.

And why that matters, for all our friends and family watching back home in America, from California, New Hampshire, everywhere in between, is because that means it could be more expensive to power the factories and ship all the things that we buy from the United States from Asia. Think a new T.V. from South Korea. Think any semiconductor or microchip that you're going to buy from Taiwan.

Furthermore, if there is an energy disruption in this side of the world, because more than 90 percent of Asia's oil imports come through that strait, if there is a disruption, that also affects what Americans are paying at the pump because oil prices are global. Even though oil production is fine in the United States, a guest last hour put it really well to Audie Cornish, American oil producers are not going to say, oh, yes, we're just going to sell our oil really cheaply. There is a crisis in the oil market, so prices will go up from American producers.

So, a couple points before we wrap up, Kate, we saw in Taiwan new CNN reporting that they have enough liquefied natural gas for March, but there's a question mark about their liquefied natural gas and energy supply for April. That's according to the cabinet of Taiwan. South Korea took the step, President Lee Jae-myung, saying that he wants to cap gas prices, what people pay at the pump across South Korea because of the fear that is emanating throughout the country.

That brings us back to here in China. What is China going to do? It's just about 22 days before President Trump lands here in Beijing for a three-day summit with Xi Jinping. Analysts in Hong Kong told us that China may need to get more oil from Russia, which helps Russia's finances because China's oil supply is being impacted. This could make the meeting between Xi and Trump much more difficult, another wrench to throw into the equation, if something is not done to change the equation in the weeks ahead. Kate?

BOLDUAN: Yes, good point. It's good to see you, Mike. Thank you so much for a closer look at that. John?

BERMAN: All right. The FBI Terrorism Task Force investigating after an explosive was thrown near the New York City home of Mayor Zohran Mamdani, his official residence.

And countdown to March Madness, who was on the bubble and what are the key games left to watch?

(COMMERCIAL BREAK)

[07:20:00]

BERMAN: This morning, New York police are expected to give an update after a third suspicious device was found during the investigation of a homemade bomb from near the official residence of Mayor Zohran Mamdani. This third device was found in a car near Gracie Mansion. A robot approached the vehicle while police in the bomb squad blocked off the area.

Two men were arrested after two devices were thrown during dueling protests. Law enforcement sources tell CNN the suspects admitted to being inspired by ISIS.

CNN's Gloria Pazmino is with us now. You were out there yesterday watching all of this. Give us the latest.

GLORIA PAZMINO, CNN CORRESPONDENT: Yes, we were actually not far from that suspicious vehicle, which was found a day later after these protests parked about four blocks away from Gracie Mansion, as you said, the mayor's residence here in New York City.

This all unfolded on Saturday afternoon after right wing influencer and January 6th riot Jake Lang held a protest outside of the mayor's home which he billed as an anti-Muslim, anti-Islam protest. That drew about 20 to 25 people. But then a much larger counter-protest showed up, and that's when we began to see clashes between these two groups, even though they were separated. And it was during that back and forth that these two suspicious devices were thrown by one of the counter- protesters into the crowd and near where police officers were standing by.

Now, we are told by law enforcement sources, as you said, that the two suspects have admitted to being inspired by ISIS. And we've also confirmed, John, that these devices were actually designed to inflict major harm. The police commissioner describing part of how they were put together, take a listen.

(BEGIN VIDEO CLIP)

JESSICA TISCH, NYPD COMMISSIONER: Based on preliminary examination and X-ray imaging, the devices, which were a bit smaller than a football, appear to be a jar wrapped in black tape importantly with nuts, bolts, and screws, along with a hobby fuse that could be lit.

(END VIDEO CLIP)

PAZMINO: So, John, these are essentially two homemade bombs. Law enforcement also investigating whether an explosive material, known as TATP, acetone peroxide, was inside of those devices. That is a highly volatile substance that can ignite what it comes in contact with heat.

[07:25:04]

Now, we did hear from witnesses that they said that these devices were emitting smoke as they were traveling through the air. But, thankfully, no one was injured. However, as we heard from the police commissioner, had they gone off, as they were supposed to, they really could have seriously hurt or even killed people.

No one was hurt during this demonstration. A total of six people, including the two that we mention, were arrested on Saturday. We are expecting to hear more both from Mayor Zohran Mamdani, as well as from the police commissioner and federal officials who are investigating this along with the FBI and the Joint Terrorism Task Force.

I should mention, Zohran Mamdani has condemned the demonstrations. He's also thanked the NYPD for their work. Of course, this not only happening outside of his residence, he's the first Muslim mayor elected here in the city of New York, but also during the Holy month of Ramadan, so certainly very heightened tensions after this event,

BERMAN: And we'll stand by to hear more from officials. We expect that information coming out today.

Gloria Pazmino, thank you very much for sharing your reporting on this. Sara?

SIDNER: All right. Ahead, oil prices is soaring to the highest price in four years due to the war with Iran. President Trump is calling it a small price to pay. That story ahead.

And what we know about the woman arrested for opening fire on Rihanna's house, leaving bullet holes in the singer's fence and residence.

(COMMERCIAL BREAK)

SIDNER: Breaking this morning, Iran has named a new supreme leader, as the war sends gas prices in the U.S. soaring to a new high for the year. Mojtaba Khamenei has been chosen to succeed his father, Ayatollah Ali Khamenei, who was killed at the beginning of the war.

[07:30:00]

President Trump has said the choice is unacceptable and is not going to last.

Across the Middle East, several strikes have targeted refineries. New video now out of Bahrain.