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The Story Is with Elex Michaelson

Israel Says It Struck Hezbollah Command Centers In Lebanon; 17,500 Americans Safely Return From Middle East; World Leaders React Cautiously To U.S. And Israeli Strikes On Iran; Zelenskyy Offers Ukrainian Expertise In Defending Against Iranian Drones; Tributes Paid To Six U.S. Troops Killed In Iran Drone Strike; Qatar Evacuates Residents Near U.S. Embassy In Doha; Iran Says it Pledges Cooperation with Iraqi Kurds; Global Markets React to War in Middle East; couple Evacuating from Dubai to Australia to Avoid War; Who Will be Iran's Next Supreme Leader? Aired 1-2a ET

Aired March 05, 2026 - 01:00   ET

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

[01:00:00]

ELEX MICHAELSON, CNN ANCHOR: This hour of The Story Is. The next hour starts right now.

UNIDENTIFIED MALE: This is CNN Breaking News.

MICHAELSON: And welcome to another hour of The Story Is. I'm Elex Michaelson live in Atlanta. Tonight, the top story is the war with Iran. Here are the key developments right now.

Israel says that Iran has launched a fresh barrage of missiles overnight, prompting authorities to send, what are called precautionary warnings to people's mobile phones in the targeted areas. The Israeli military says its latest strikes on Tehran dismantled dozens of ballistic missile arrays. Video released by Israel shows Air Force planes carrying out that mission.

And the Pentagon in the United States says that a U.S. Navy submarine sank an Iranian warship international waters. Sri Lanka says at least 80 people were killed there. The strike is in keeping with President Trump's objective of destroying Iran's naval capability.

Meanwhile, the damage in the Iranian capital is mounting. New video geolocated by CNN shows extensive damage at a police facility in Tehran. The Trump administration says it expects to have complete control of Iranian skies soon.

(BEGIN VIDEO CLIP)

DONALD TRUMP, U.S. PRESIDENT: Somebody said on a scale of 10, where would you rate it? I said about a 15. And we're going to continue to do well. We have the greatest military in the world by far. And that was a tremendous threat to us for many years, 47 years they've been killing our people and killing people from all over the world. And I think we have great support. And I think if we didn't do it first, they would have done it to Israel and give us a shot if that was possible.

(END VIDEO CLIP)

MICHAELSON: CNN is covering the war with Iran from around the globe. Brian Todd tracking developments from Washington. But we start once again with senior international correspondent Ivan Watson in Hong Kong.

Ivan, what do we know about Israeli strikes against Hezbollah, especially targets in Beirut?

IVAN WATSON, CNN SENIOR INTERNATIONAL CORRESPONDENT: The bombardment of southern Beirut, those southern suburbs that have long been characterized as a Hezbollah stronghold, has continued throughout the night and day.

There are periodically what the Israeli military does is it sends an evacuation order ahead of a strike on an area, giving some time for people to flee. But then there are other strikes that come without warning that are presumed to be targets that people that they want to kill and people do not get that warning in that event.

The Israeli military has ordered the evacuation of all of southern Lebanon south of the Litani River. And that has sent tens of thousands of people fleeing and are displaced and sleeping on sidewalks. So there's tremendous pressure on the population.

The Hezbollah militia says it continues to claim to be carrying out attacks on Israeli targets both inside Lebanon, in the south of the country where Israeli military units have crossed the border, and inside Israel as well. And that demonstrates that the Lebanese government, which declared any security activity or military operations by Hezbollah to be illegal, it demonstrates that the Lebanese government doesn't have the ability or the capability to actually stop this powerful militia from doing anything like that.

Meanwhile, the death toll continues to grow with the Lebanese government saying more than 70 people have been killed so far as a result of fighting on this front of the growing regional war.

MICHAELSON: You also have new reporting about the Iranian warship struck by the US.

WATSON: This is very dramatic. The Pentagon taking claiming responsibility for a submarine torpedo attack on an Iranian Navy frigate in international waters somewhat close to Sri Lanka. The name of the vessel is the -- it's the Dana and it was believed to have about 180 crew members on board.

The Sri Lankan Navy says that it got a distress call and by the time the search and rescue teams arrived at the scene, there was no ship to be seen, only an oil slick on the ocean and life rafts. Let's listen more to what a Sri Lankan Navy spokesman has to say.

(BEGIN VIDEO CLIP) COMMANDER BUDHIKA SAMPATH, SRI LANKAN NAVY SPOKESMAN (through translator): When we were carrying out search and rescue work, were able to rescue a group of people who were in the sea by talking to them. It became clear that they were from an Iranian ship and needed urgent medical attention.

(END VIDEO CLIP)

WATSON: The Sri Lankan Ministry of Defense says at least 80 bodies have been found from this submarine attack and that some 32 sailors have been rescued in a combined effort from the Sri Lankan Air Force, Navy and Coast Guard.

[01:05:11]

Now, a little bit of additional information about the ship itself. It is a frigate, and just two weeks ago, it was a guest at an international naval conference that was hosted by India. It was aimed at multilateralism and cooperation on the high seas. So that ship was actually seen in review that was attended by India's president. And we believe that some sailors from the ship actually marched in an international parade India.

That might be some of the last footage that you'll see of some of those sailors alive because some two weeks later, it was destroyed by this U.S. submarine. It's interesting to note that the U.S. Navy was also invited to the same conference. An admiral attended, but the Indian host said U.S. warships did not participate due to the ongoing tensions with Iran.

The fact that the U.S. destroyed an Iranian navy ship, it is fulfilling one of the objectives stated by President Trump on Saturday when the surprise attack on Iran was announced. And it also indicates the lengths and the distances that the US Military will go to pursue those objectives.

MICHAELSON: Yes, he's talked about that Navy aspect time and time again, even since Saturday. Ivan Watson in Hong Kong, thank you for that. Now let's go live to Washington where CNN's Brian Todd is standing by.

And Brian, we just learned breaking news within the last hour. Thousands of Americans have now returned to the U.S. since the war began. You've been following this closely. What more do we know about that and this new information from the U.S. government, right.

BRIAN TODD, CNN CORRESPONDENT: Elex, it's very clear right now at this moment that the State Department is trying to get across this message, that it is ramping up its response in helping Americans get out of the Middle East because of the just relentless criticism that it faced in the first couple of days of this, that it was not doing that.

As Elex mentioned just in from the State Department, this coming from Dylan Johnson, an assistant secretary of State. He says that more than 17,500Americans have returned to the U.S. from the Middle East since Saturday, February 28th. That is, of course, the day the war started. Dylan Johnson said that includes more than 8,500Americans who returned to the US just on Tuesday alone. So that was a mass exodus on Tuesday of 8,500 plus Americans from the Middle East.

Now, we should say that of those 17,000 that came back overall, it is probably likely that many of them were able to make those arrangements on their own because of course, as we've been reporting in those initial days of the war, help was not necessary forthcoming from the State Department. President Trump himself admitted that there was no evacuation plan for Americans before this war started.

But Dylan Johnson says that the task force of the State Department has assisted nearly 6,500Americans with security and travel assistance. He does acknowledge, Elex, that many more Americans across the Middle East, Europe and Asia still remain abroad or in transit.

But clearly right now, the State Department putting forth that message very urgently, they needed to get this out the that they are on this problem, they are across it, and that more Americans are leaving with their assistance.

MICHAELSON: Yes. Because we just heard about the very first charter flight on Wednesday --

TODD: Right.

MICHAELSON: -- from the United States government. We've heard other countries that have worked faster to get their folks out.

TODD: Yes.

MICHAELSON: Meanwhile, also in Washington behind you, the House is going to vote on a bipartisan resolution to try to limit President Trump's military campaign against Iran. But it probably doesn't mean much because the Senate measure went down.

TODD: The Senate measure went down as predicted, Elex. That vote was 53 to 47. The Republicans just have the numbers on this. And of course -- 8:00 a.m. Eastern Time. This really falls along party lines. It was 53, 47 in the Senate. Excuse me, on Wednesday. Pardon me. It was a measure that would have limited President Trump's power to continue waging war against Iran without congressional authorization. That was a measure that was introduced by Democratic Senator Tim Kaine of Virginia.

But it never really had much of a chance. Just one Republican Senator, Rand Paul, joined the Democrats in voting for that resolution. One Democratic Senator John Fetterman, joined Republicans to vote against it. As Elex mentioned, the House is going to vote on this in the coming hours. Our Manu Raju caught up with three Republican members of the House. Congressman Tim Burchett from Tennessee. Congressman Mike, excuse me. Brian Mast, Republican of Florida, he's the chair of the Foreign Relations Committee. And Congressman Mike Flood of Nebraska trying to gauge the Republicans temperature regarding the authorization of war powers for the president. Take a listen.

[01:10:09] (BEGIN VIDEO CLIP)

MANU RAJU, CNN CHIEF CONGRESSIONAL CORRESPONDENT: Why shouldn't Congress have to vote to authorize it?

UNIDENTIFIED MALE: I just don't think that's within constitutional parameters.

RAJU: But in Iraq and Afghanistan, there were AUMFs authorizing the use of force.

REP. BRIAN MAST (R-FL): There was an entirely different set of mission that I think has absolutely no relevance in looking at this operation.

RAJU: Why not just vote to authorize this war?

UNIDENTIFIED MALE: Well, I think the president has the authority.

RAJU: Would you consider it a war?

UNIDENTIFIED MALE: It's a significant military operation.

(END VIDEO CLIP)

TODD: A significant military operation that Republicans are supporting even though many of them have their own jitters. And you can see it in the body language in some of these interviews that Manu's doing. They just have their own anxieties about how open ended this war is. Elex, as you mentioned, that House vote coming in the coming hours here on Thursday and not expected to have much of a chance either.

MICHAELSON: And of course the reason he's not using the word war is that the Constitution says very clearly only Congress can declare war, not the president. So if it's not a war because Congress didn't declare it's just a military operation. Yes, a lot of pretzel twisting there from folks --

TODD: As always here in Washington.

MICHAELSON: Who may have had a little different perspective when President Obama was in charge. And of course, Democrats often do that when Republicans are in charge as well. Brian Todd in Washington, thank you for that. Thanks for staying up late for us.

European countries still trying to figure out their role in the growing conflict in the Middle East. Spain, which has refused to get involved in the war, is working to get its citizens out of the region. The Defense Ministry says a military plane leaving Oman brought 171 Spaniards back home.

Meanwhile, French President Emmanuel Macron is calling for Israel and Lebanon to deescalate tensions. He said the retaliatory strikes are putting the entire region in danger. Just yesterday, France deployed a nuclear powered aircraft carrier to the Mediterranean. It also sent fighter jets, air defense systems and airborne radar assets to protect allied airspace. And in the U.K., British Prime Minister Keir Starmer is hitting back

at criticism from President Trump. He says the country is now allowing the U.S. access to U.K. bases. And after initially refusing.

(BEGIN VIDEO CLIP)

KEIR STARMER, BRITISH PRIME MINISTER: We're taking action to reduce the threat with planes in the sky in the region, intercepting incoming strikes, deploying more capability to Cyprus and allowing U.S. planes to use U.K. bases to take out Iran's capability to strike. What I was not prepared to do on Saturday was for the U.K. to join a war unless I was satisfied. There was a lawful basis and a viable thought through plan.

(END VIDEO CLIP)

MICHAELSON: Meanwhile, Turkey says NATO shot down an Iranian missile heading towards its airspace. NATO has condemned Iran for what it calls indiscriminate attacks across the region. CNN's European affairs commentator Dominic Thomas joins me live now. Dominic, welcome back to The Story Is. How is all of this --

DOMINIC THOMAS, CNN EUROPEAN AFFAIRS COMMENTATOR: Thanks for having me on.

MICHAELSON: How's all this playing across Europe? And are they going to get pulled into this whether they want to or not?

THOMAS: Well, at the moment, Elex, it looks like it's going that way, although the first thing they've had to deal with is that like so many people around the U.S. administration, they are rarely consulted and they are criticized when they don't follow along.

So in this particular case, they have been called upon to be allies after the fact. And of course, that has created some ambiguity and some resentment there.

I think, Elex, the main thing to look at here is that there's really serious concerns in Europe about the implications of what is unfolding here in the Middle East. Questions around the actual motives, but also absolutely zero appetite for getting embroiled in a long standing conflict as happened previously in Iraq, Afghanistan and Syria. Elex.

MICHAELSON: So the U.S. administration has been giving its reasons for attacking Iran. There's been sort of different reasons depending on the day. The folks in Europe do the leaders there find it to be a legitimate attack?

THOMAS: Well, there's ambiguity there once again, but I think ultimately the answer to that is no. They're serious concerned about what the real motives are. Are they really about engagement in the foreign policy context or they are distraction from a range of domestic issues.

There is lingering resentment and anger that under the first Trump presidency they withdrew from what is known as the Iran nuclear deal. [01:15:00]

There is concern that the diplomatic path was not followed to the end. And what European leaders are facing is a real lukewarm, overwhelmingly lukewarm position of Europeans when it comes to the question of engaging in military conflict rather than pursuing diplomatic avenues.

So the leaders find themselves in a difficult position here, trying to manage an unpredictable U.S. President with bigger questions in mind to do with trade, stability and so on, with the conflict that is unfolding yet again in the Middle east on the heels of a situation in Ukraine that for four plus years now has provided and been an enormous distraction to European leaders. Elex.

MICHAELSON: Is there any European leader that is saying now sign me up, I want to send military assistance to the United States. We want to join the U.S. and Israel and we want to be a part of attacks too?

THOMAS: Yes. Well, this is where it gets complicated, of course, Elex, is that, you know, the 27 current members of the European Union, let alone European countries that are not or no longer members of that particular body. And you see some of those dividing lines, some that are extraordinarily reluctant.

For example, the Italian prime minister that enjoys close ties with President Trump, that lives in a situation where there's very little support for what's unfolding in Ukraine, let alone getting involved in what's going on in the Middle East.

And then of course, within the European Union, you have the detractors, Orban in Hungary, Slovakia and so on, that tend to follow up and align with President Trump but have very limited military capabilities themselves.

So thus far we've seen real resistance from the Spanish leader who of course has invoked, you know, the fury of President Trump. But for the time being, most countries are providing some kind of assistance through access to base. And of course the 32 member NATO alliance is on full alert here watching and monitoring the situation unfold. Elex.

MICHAELSON: Dominic Thomas, thank you for your insights. I miss seeing you in person in our L.A. studio as we report here from Atlanta. But I'm sure I'll be seeing you next week when we're back home. Thank you so much for joining us.

THOMAS: Awesome. Thank you so much.

MICHAELSON: Ukraine is lending its expertise fending off Iranian drones and missiles to other Middle Eastern countries.

(BEGIN VIDEO CLIP)

VOLODYMYR ZELENSKYY, UKRAINIAN PRESIDENT (through translator): Partners are turning to us to Ukraine, asking for help in defending against Shahed drones with expertise and real operational experience. There have also been requests from the American side. In recent days I have spoken with the leaders of the UAE, Qatar, Bahrain, Jordan and Kuwait.

(END VIDEO CIP)

MICHAELSON: Ukraine has extensive experience battling the one way attack drones that Iran has used to target the Middle East this week. Russia has frequently used them to use them against Ukraine since its invasion in 2022.

The White House says President Trump will attend the dignified transfer of six U.S. troops killed in Iranian drone strike. Their remains will be transported to Dover Air Force Base in Delaware for the ritual ceremony.

Hours ago, the Pentagon identified the two remaining fallen soldiers as Major Jeffrey O'Brien of Indianola, Iowa, who is seen here, and Chief Warrant Officer Robert Marzon of Sacramento, California, whose final identification is yet to be confirmed by medical examiners. Sunlen Serfaty has more on the lives of the Four other service members were previously identified

(BEGIN VIDEOTAPE)

SUNLEN SERFATY, CNN CORRESPONDENT (voice-over): A mother days from returning home, a man known to be the life of the party, a 20-year-old Eagle Scout and a father who shared a passion for taekwondo with his son. These are the faces of the first American troops to lose their lives in the line of duty in the war with Iran. All six killed in Kuwait, among them. Nicole Amor, 39 years old, was a mom to a fourth grader and high school senior in White Bear Lake, Minnesota. She was almost home. Her husband, who had spoken to her two hours before she died, said. Amor was an automated logistics specialist who just a week before her husband said, had been moved off the base out of fear it was going to be attacked.

In a social media post her husband said the world is dimmer without her light in it, but her love and the impact she made will live on in all of us.

Sergeant Declan Coady, from Des Moines, Iowa, was just 20 years old, posthumously promoted from information technology specialist to sergeant. He had been updating his family throughout this past weekend, telling them he was safe until a fateful moment at their door.

ANDREW COADY, DECLAN COADY'S FATHER: I will say most of us started to wonder and your gut starts to get a feeling and we had just turned the lights off and went into the bedroom and the doorbell rang at 8:00 p.m..

SERFATY (voice-over): Coady had recently told his father he'd been asked to consider extending his deployment nine more months. He was on track for a promotion and had set his sights on becoming a commissioned officer.

[01:20:09]

His sister saying she still doesn't feel his death is real.

KEIRA COADY, DECLAN COADY'S SISTER: I just remember all of our conversations about what he was going to do when he came back.

SERFATY (voice-over): Captain Cody Khork was 35 years old from Lakeland, Florida, who felt a calling to serve from an early age. He was deeply patriotic and took great pride in serving something greater than himself, his family said. Those who served with him remember his leadership and care for his team.

SGT. 1ST CLASS BRIAN KOCHENDORFER, U.S. ARMY: He cared about people. Hey, I'm not going to put soldiers in harm's way. That's what you look for in a commander.

SERFATY (voice-over): And sergeant first class Noah Tietjens was 42 years old, a devoted husband and father who stood out for his professionalism.

COL. KOSEF SUJET, U.S. ARMY (RET.): I hate to say this, but I don't think I ever saw the guy smile. But that's a testament to just how professional he was.

SERFATY: And mentorship.

STAFF SGT. JONN COLEMAN, U.S. ARMY: He always took the time, you know, he made you feel important.

SERFATY (voice-over): A black belt in taekwondo. His family were prominent members of a martial arts studio in their hometown of Bellevue, Nebraska. Sunlen Serfaty, CNN, Washington.

(END VIDEOTAPE)

MICHAELSON: Iran's foreign minister speaks with the president of the Kurdistan region after CNN's reporting that the CIA is working to arm Kurdish forces. On the latest details after a short break.

But first, we are live in Qatar as authorities there are urging evacuations near the U.S. Embassy. The details next.

(COMMERCIAL BREAK)

[01:25:54]

MICHAELSON: It is just about 9:30 in the morning in Doha, Qatar, where authorities are evacuating residents living in the vicinity of the U.S. embassy. Qatar's interior ministry called the move a temporary precautionary measure. It comes as Iran's foreign minister says missile attacks in Qatar have been directed at U.S. interests, not at Qatar itself.

Let's bring in CNN senior producer Bijan Hosseini joining us live now from Doha. Bijan, what do we know about the precautionary measure? BIJAN HOSSEINI, CNN SENIOR PRODUCER: Hi, Elex. Yes, we received

confirmation around 2 o'clock in the morning from Ministry of Interior saying that these evacuations were starting to take place. As you said, a precautionary.

We actually have a CNN staff member who lives just about 4 kilometers away from that embassy. They were evacuated around 3 o'clock in the morning. They received a knock on their door from police asking them to evacuate, which they did.

About two hours later, they were allowed to return to their homes, police telling them that they were safely outside of the perimeter that they had set up. We talked to that staff member. They said that they didn't hear or see any strikes or interceptions taking place throughout the night. So it does, in fact, seem that was just a safety precaution.

And you mentioned that phone call between Iran's foreign Minister Abbas Agrachi and Qatar's prime minister and minister of foreign affairs. They spoke yesterday. This is one of the first instances of Iran reaching to a Gulf leader and Iran, you know, Iraqi, basically reiterating some of the stuff Iran's been saying, the statements they've been putting out over the last couple days, hey, you know, we're not attacking our Gulf neighbors. These are attacks on U.S. facilities and U.S. assets in the region, to which Qatar's prime minister said, well, that's categorically false.

He cited incidents of Iran attempting to hit both residential and commercial areas, including Doha's airport. Those were successfully intercepted. But this obviously puts a huge strain on this very delicate relationship between Qatar and Iran. You know, they don't have an amazing relationship, but they have a pragmatic one.

They share the world's largest liquid gas, Iran, in the past with Western countries, but obviously these last six days putting a huge strain on that relationship.

MICHAELSON: People are being told to stay indoors, to take precautions. Are listening. Are people out and about in Doha?

HOSSEINI: Look, I think you're getting a mixed bag. Obviously, we did a piece. We talked to some tourists who have been stuck here for six days now. We're starting to see them venture out. The government is still asking people to stay inside to shelter in place, but some people are making their way outside. And we have seen essential businesses still operating, schools still remain online, and only essential workers are being asked to actually go into their offices. So it really just depends on the person.

MICHAELSON: Bijan Hosseini live for us in Doha. Thank you so much. We'll see you in next hour with more original reporting from there. But now we want to talk about Iran pledging to cooperate with Iraqi Kurds in an effort to prevent other nations from, quote, exploiting the situation to destabilize the region.

That announcement was made after a high stakes phone call between Iran's foreign minister and the president of Iraq's autonomous Kurdistan region. It comes after CNN reported that the CIA is working to arm Kurdish forces hoping to trigger an uprising in Iran. CNN's Clarissa Ward has more on that.

[01:29:42]

(BEGIN VIDEOTAPE)

CLARISSA WARD, CNN CHIEF INTERNATIONAL CORRESPONDENT: This is a pretty extraordinary development. We actually sat down earlier on tonight with an Iranian Kurdish senior leader who told us that Iranian Kurdish forces are literally preparing a ground operation inside western Iran in the coming days, with the support of the U.S. and Israel.

He wouldn't give any details as to what exactly that support looks like, but he did tell us that President Trump actually spoke on the phone today with the leader of the KDP-I. That's one of the Iranian Kurdish groups here.

He wouldn't characterize the details of the conversation, but he said it was a positive conversation. And this is something that is coming at the same time as this reporting from Natasha Bertrand, Alayna Treene and Zachary Cohen that the CIA is actively arming Kurdish forces -- Iranian Kurdish forces, in order to try to foment civil unrest in Iran with all the many multitude of risks and complexity that that entails.

But one of the big ones here, in terms of questions, will be the response of the Iraqi Kurdish leadership here in Iraqi Kurdistan, because they have tried very hard to kind of carve out a neutral path in this conflict.

The relationships that they have with Iran and with Turkey are very important, and this really puts them in an extremely difficult position.

So we are now waiting and watching very closely to see how they're going to respond, if indeed this ground operation is going to go forward and what that will look like and what this broader operation that the CIA is involved with will look like. Because, again, the complexity, the dangers the risks are multiple.

(END VIDEOTAPE)

MICHAELSON: Clarissa Ward, earlier today in Iraq.

Global markets are adjusting to the ongoing war in the Middle East and disruptions to oil and shipping. Analysts are looking at how the conflict could impact economies all over the place.

We'll have expert opinion on that and more, next.

[01:31:51]

(COMMERCIAL BREAK) MICHAELSON: Markets are digesting the turmoil caused by the U.S. and Israeli war with Iran. Here's a look at key markets in Asia right now. And you can see, looking pretty good, all in green.

Investors keeping a close eye on the Middle East and disruptions to energy markets and global shipping.

Here's a look at oil prices right now. They were relatively steady on Wednesday after two days of soaring prices. Earlier Brent Crude had fluctuated before finishing above $81 a barrel. Some of the highest prices we've seen since January of 2025. That's about where it's been the last few days.

U.S. futures right now are all showing declines. Relative calm and energy markets helped ease some pain in the U.S. stock market on Wednesday after days of volatility.

Two of the world's largest maritime shipping companies are no longer accepting cargo bound for the Persian Gulf. Maersk and Hapag-Lloyd both cited the ongoing fighting in that region.

Traffic has already been brought to a virtual halt. The energy industry is scrambling to find supplies that don't sail through the Strait of Hormuz.

This presents a tricky situation for Europe especially. It turned to the gulf countries for energy supplies after Russia invaded Ukraine.

The price of natural gas is skyrocketing across Europe. It climbed nearly 55 euros per megawatt hour on Tuesday, quite a jump from last month when it was closer to 30 euros.

For more on all this, let's bring in Amena Bakr. She is the head of Middle East Energy and OPEC+ Insights at Kpler, a global analytics firm. She joins me right now from Dubai.

So what are you seeing in tanker tracking data that you guys all look at? Are shipments slowing or are they rerouting away from the strait?

AMENA BAKR, HEAD OF MIDDLE EAST ENERGY AND OPEC+ INSIGHTS, KPLER: We're seeing both options really happen, Elex. We're seeing some rerouting happen, especially with Saudi Arabia using more of its East- West pipeline to export out of its Yanbu port.

And the UAE is using its pipeline in Fujairah to reroute some of the volumes.

But when it comes to Hormuz, we are seeing, as you said, a standstill. And this is not because insurance companies aren't giving vessels insurance. It's just because of pure fear. And the level of risk that we're seeing many vessels majority of vessels don't want to go through that strait right now which is creating a huge backlog to the extent that some countries in the region, including Iraq, have been halting their production. They cut their production of oil by around 1.5 million barrels just because they don't have any outlet to export and storage is full. MICHAELSON: So in America, a lot of the people here really care about

what does this mean for my gas prices, and when could I see higher gas prices? What do you say to them?

BAKR: I think that, I mean, the whole world is exposed now. Any war that happens in this region is -- isn't a regional war. This is a war that impacts the entire world and the U.S. isn't completely immune for it.

[01:39:48]

BAKR: It's true that the U.S. right now is producing more oil, and it's more self-sufficient to a degree but it doesn't mean that we're not going to see a jump in energy prices in the U.S.

Already gasoline prices are moving towards $3 and if this conflict further extends, I mean we do expect inflation to have an impact on prices in the U.S. and that will be felt by the consumer.

MICHAELSON: I know Europe was already in a tight spot as they tried to move away from Russian oil and gas. How does this impact Europe?

BAKR: Yes, Europe is exposed a lot more than the U.S. as you rightly pointed that, I mean, on the announcement of the shutdown of the Ras Laffan facility in Qatar, we saw gas prices immediately increase by 50 percent in Europe. So I think that, I mean, right now they need to look for alternatives.

I'll tell you what India is doing. India is looking back at getting more supplies from Russia, whether its LNG or oil.

Politically, I don't know how ready and prepared Europe is looking at that option, but right now, I think they're in a tight spot.

MICHAELSON: You mentioned inflation around the world. What are you talking about? What are we looking at here? And how much of an impact does it have on prices for everything?

BAKR: Yes, that's a really good question. And I think it all depends on how long this conflict lasts. If, I mean, the timeline that President Trump keeps repeating is four to five weeks the situation could be contained. And I think that's the idea is that they don't want to kind of extend this war.

But at the same time, we're not seeing any results or I mean, it's just really difficult. We're in a fluid situation.

So at this point it will be really difficult for anyone to predict where this is going. But the longer it lasts, the more, I mean, the more exposed the global economy is going to be to this crisis.

MICHAELSON: Amena Bakr, thank you so much for joining us. We appreciate it.

BAKR: Thank you. MICHAELSON: Some stranded travelers in the Middle East are starting to

return to their home countries. The first U.S.-facilitated evacuation flight left the region on Wednesday. The State Department says more flights will be surged throughout the region.

Canadian officials are working to secure charter flights for their stranded citizens as well, specifically, out of the UAE. Others currently in Israel will be taken in busses to the country's border with Europe.

And some Chinese nationals in the Middle East are taking it upon themselves to find a way home. Chinese social media has also been flooded with conversations of people trying to find a way out of the Middle East.

One traveler telling CNN he bought different three plane tickets, hoping at least one of them would get him home.

CNN's Paula Hancocks spoke with a couple in Dubai navigating that travel chaos. They're facing leaving their home and jobs to get away from the war with Iran.

(BEGIN VIDEOTAPE)

PAULA HANCOCKS, CNN CORRESPONDENT: Watching the news to find out about a conflict they're in the middle of, Cathy from Michigan who moved to Dubai just two weeks ago to join her husband, now her government has told her to leave.

How did you feel when you saw that directive that you should depart now from the Middle East?

CATHY, AMERICAN CITIZEN LIVING IN DUBAI: I felt well, I better get looking on flights, but I knew that the airport was closed. So I thought, how am I -- how am I meant to depart?

HANCOCKS: Michael is a school principal in Dubai. Schooling in the UAE is virtual all week. He has managed to secure them a flight to his home country, Australia, in a few days to reunite with their children.

Your children are older, 18 and 21. They know, they understand what's going on. What have they been saying to you?

CATHY: They have been keeping in contact daily and wondering, you know, when are we -- when are we coming out? And they're planning to meet me at the airport and they were waiting.

HANCOCKS: Are they worried.

CATHY: They -- yes, they're worried

HANCOCKS: Dubai Airport is prioritizing passengers whose flights were canceled over the past five days. Even then, it's a lottery to find out if they are assigned to one of the very few flights actually taking off. Many are in a cycle of booking, hoping, then being canceled. There are

some in Dubai, though who appear to be taking the turmoil in stride, sunning by the pool in between alerts and interceptions.

Paula Hancocks, CNN -- Dubai.

(END VIDEOTAPE)

MICHAELSON: Still to come, after the death of Iran's Supreme Leader. We'll look at who Iran might choose to be his successor.

Stay with us.

[01:44:28]

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MICHAELSON: Welcome back to THE STORY IS. I'm Elex Michaelson.

Let's take a look at today's top stories. Israel says its latest airstrikes have dismantled dozens of Iran's ballistic missile arrays (ph). The latest video shows smoke billowing from a Tehran neighborhood on Wednesday.

Turkish citizens returning from Iran say the capital is deserted, with many people fleeing for the countryside amid the ongoing U.S. and Israeli strikes.

The U.S. House Oversight Committee has voted to subpoena the Attorney General of the United States, Pam Bondi, to testify about her handling of the Jeffrey Epstein files.

[01:49:44]

MICHAELSON: Republican lawmaker Nancy Mace introduced the motion as part of the committees investigation into the late convicted sex offender. It passed 24 to 19 Wednesday, with some bipartisan support.

China has set its lowest economic growth target in decades. Beijing says it is aiming for a 4.5 percent to 5 percent expansion this year. That's after achieving around 5 percent growth for the past three years.

China's broader growth trajectory has flattened, weighed down by a prolonged property crisis, lower investment, tepid consumer demand and deflation.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE (through translator): I held her. She was gasping for air, breath by breath. We brought her down 15 flights and gave her to someone to take to the hospital. She was still trying to breathe and take little breaths. Blood covered her head. Her body was bloody. I still have her blood on me.

(END VIDEO CLIP) MICHAELSON: A heartbreaking, harrowing account from a Tehran resident who tried to save a three-year-old girl after her home was totally destroyed in the strikes in Iran.

After carrying that three-year-old out the building, the man and his father went back inside where they rescued her brother. They found the child's mother and a newborn sibling under the rubble. The baby did not survive.

Israeli evacuation orders are causing chaos in southern Lebanon as residents scramble to leave that area. The order led to a huge traffic jam as tens of thousands of people headed north on Wednesday.

Some of them told the U.N. that they spent 18 hours on the road -- an 18-hour trip. Lebanon says more than 83,000 people are now displaced.

Israel issued the orders after launching airstrikes and a limited ground incursion. It was a response to Iran-backed Hezbollah firing rockets from Lebanon into Israel.

The mourning ceremony for Iran's former Supreme Leader, Ayatollah Ali Khamenei, has been postponed according to state media. He was killed in one of the targeted airstrikes by the U.S. and Israel. There is no time frame on when that official ceremony could take place. But now officials are tasked with choosing his replacement.

CNN's Isobel Yeung tells us who may be in the running.

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ISOBEL YEUNG, CNN REPORTER: Now that Iran's supreme leader Ayatollah Khamenei has been killed in U.S.-Israeli airstrikes, Iran's clerical regime is quickly deciding who is going to succeed him.

This is obviously a very big role. It's the most powerful position in the Islamic Republic, and one that Khamenei has occupied for nearly four decades, ruling over Iran with a brutal iron fist.

Whoever is appointed matters because it's going to answer one key question, is this a regime that's going to double down on Khamenei's repressive policies? Or will it take the chance to recalibrate?

These are the top contenders for the position. First up, we have Mojtaba Khamenei. He's 56 years old. He's the second son of Khamenei and has strong links with the Revolutionary Guards, as well as the besieged military forces, which is important if he wants to continue ruling in the same vein as his father had been.

He's been branded as the frontrunner, but father-to-son succession goes against the ideals of the regime which overthrew a hereditary monarchy in 1979.

We also have Alireza Arafi; a confidant of Khamenei. He was appointed to senior and strategically very sensitive positions, and is part of the clerical establishment. He's also part of the three-member leadership council, which is currently running Iran. He's apparently very tech savvy, fluent in English and Arabic, and is generally seen as more of a moderate.

But he's not known as a political heavyweight and doesn't have close ties to the security establishment.

Then you have conservative clerics like Mohammad-Mahdi Mirbagheri or Hashem Hosseini Bushehri, less known publicly, but reportedly more close to conservative elements.

Or the former head of the judiciary, Sadiq Larijani, whose brother Ali, is currently the powerful national security head.

Outside of those runners, the picture gets a little bit more complicated with the likes of Hassan Khomeini, the grandson of the founder of the Islamic Republic, who has traditionally been seen as closer to reformist factions of Iranian politics, but obviously, also carries religious and revolutionary legitimacy.

His younger brother Ali has also been making headlines recently, leading some analysts to suggest that he's positioning himself.

And finally, there's the potential of the system to pivot and go for someone like Hassan Rouhani, the former President who hails from more moderate camps of Iranian politics, but is still very close to elements of the security establishment to take the realm.

Whoever is appointed as the next supreme leader is going to need the backing of the IRGC, or at least portions of it, and they'll need to act quickly to consolidate power amongst the various elected and non- elected officials that have been ruling the country so far.

On top of that, their appointment could be short-lived as this person could be a clear target for Israel and the U.S. U.S. President Donald Trump has weighed in to speculation, saying that several of the people his government had viewed as potential leaders are now dead.

[01:54:45]

DONALD TRUMP, PRESIDENT OF THE UNITED STATES: I guess the worst case would be we do this and then somebody takes over who's as bad as the previous person, right. That could happen.

We don't want that to happen.

YEUNG: Isobel Yeung, CNN -- London.

(END VIDEOTAPE)

MICHAELSON: Our thanks to her and our thanks to you for watching.

This is usually the time when we say goodbye for THE STORY IS. But we have an extra hour as our coverage of the war in Iran continues after the break.

More of THE STORY IS right after this.

[01:55:11]

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