realistic they could close the strait? >> they can definitely close the strait. one of the things people realize now is that all the iranians would have to do is say, oh, by the way, we mined the strait. because at that point, lloyds of london is going to say we're not going to insure the tankers anymore. they can mine them. the u.s., i asked one of the commanders, would they know they mined them and they have all kinds of surveillance to see if the iranians mine the strait, they don't think they're going to do it. they think that's a bluff. but if israel took action against iran, that certainly something that the iranians could do. >> the iranian economy is already reeling from the international sanctions. wouldn't mining or closing the straits be a nail in the coffin? >> suicide. >> it would be basically suicide. and from what i've -- from what i've said, and talked to commanders, i think they do not think it would be mined. unless iran was attacked. that it is a blutch. unless -- it is a bluff. unless iran is attacked b

iran has threatened to close the straits. the u.s. has insisted it must remain open and that iran must not be allowed to threaten of

troubled waters as tension rises with tehran while at the uss abraham lincoln sales to the straits of hormuz. this valentine's day, the duchess of cambridge has them lining up in liverpool. welcome to our viewers on pbs in america and around the globe. it is not often that a foreign vice-president gets an oval office meeting with the president, a lunch at the state department, and enough media attention to dwarf the heads of state. but then again, this is the future leader of china. today, xi jinping made the rounds in washington pledging friendship while conceding the need for civil rights. >> the man getting the red carpet treatment is 58, his daughter goes to harvard, and one of his favorite films is " saving private ryan." so much else is unknown. on valentine's day, the first day in the oval office. a chance to see how he feels about iran, syria, and america's growing presence in china's backyard. >> we are very interested and focused on continuing to strengthen our relationships, to enhance our trade and commerce, and make sure that we are a strong and effective partner. >> mr.

across syria lates the strait of hormuz. a vital intersection for commercial ships coming into and goint of the persian gulf. the military and the irgc have recently staged several maneuvers in this region. we received special permission to report from here. iran is believed to be amassings its forces in the port city to ski the strait. iran's leaders are maintaining a confrontational stance against the west and israel. >> translator: our country has the means to retaliate against sanctions and attacks. >> reporter: iran launched a domestically produced satellite last week prompting concerns that it could soon develop a ballistic missile. but we saw evidence that the sanctions are clearly hurting iranians. workers say there aren't as many trucks at the port these days as fewer imported goods are being unloaded. >> translator: we had work last year, but very little this year. it's so bad. >> reporter: the people we talked to are worried about their daily lives. sales at this fish market have plunged because of high inflation.

much of the world oil export goes through the strait of hormuz.nk it's best to really calm down this situation and explain that it is not in anybody's interest to interrupt the oil flow through the straits. >> reporter: certainly not in iraq's interests. it's trying to boost its economy by, among other things, exploiting untapped oil reserves. one of the most exciting is in the south close to the iranian border. the field with an estimated 18 billion barrels of oil. >> reporter: this oil field is still in the early stages of its development but it's supposed to play a key role in iraq's efforts to drastically increase its oil exports and to play a major role in the world of oil supply. >> reporter: eye rag wants to increase its oil exports by 4 million barrels a day. almost all of the oil it sells, about 90%, goes through the strait of hormuz. >> iraq has tried in the past and continues to try to bring some kind of meaningful dialogue between the u.s. and the west in general and iran, at times we have almost succeeded, actually, to have a break th

iran recently threatened to close the straits through which 20% of the world oil supplies travel. it has not yet but they're watching every inch of the study. the u.s. insists this is a routine voyage but it comes at a time of growing concern about iran's nuclear program and rising tensions. >> the presence of this ship is provocative. if you look at the weaponry on board, we routinely transit in and out of the arabian gulf to the north arabian sea so that we can go out and start our work in supporting the troops in afghanistan. >> they are taking no chances. u.s. helicopters one off small boats getting too close. further in the distance, and the iranian patrol boats is spotted while one of its military planes brazenly shadows overhead. if this is an attempt to scare off the u.s. navy, it does not seem to have worked. >> we don't have to do anything. >> if they do something, you are confident that you can deal with it? >> yes. >> with open waters in sight, the abraham lincoln can continue on its next mission -- providing air support over afghanistan. it will be soon replaced by an

we've got iran threatening to shut down the strait of hormuz. i'm probably the only member of congress who has thrown through a mission on in the strait of horm use. it's very narrow. for you in texas, that's the distance from houston to g galveston to zip down the freeway. the commercial traffic, tanker lanes are close to iran, pushed to the northern part of strait. it's very shallow, 200 feet. 30% of the transported crude flows through the straits of hormuz. if those shut down for any amount of time, maybe two month, the price will spike dramatically. it is a national security issue. you don't have to take my word for it. the department of state agrees. we had a similar issue about three years ago. a pipeline called the alberta clipper which came from the same spot in canada and came over to the lake superior on the great lakes. this is the record of decision by the state department for the alberta clipper pipeline. i'll read one portion to you. it applies today. the department of state has determined through review of the alberta clipper proj

of hormuz you know iran says they control the straits of hormuz but if you're paying for that oil to go through there in dollars. the emperor controls the straits of hormuz ok good point now the telegraph says iran has the third largest oil reserves in the world and pricing oil in currencies other than dollars is a provocative move aimed at washington if iran switches to the non dollar terms for its oil payments there could be a new oriel price that would be denominated in euro yan or even the yuan a rupee india is already in talks with iran over pricing their oil in rupees and they said even worse gold absolutely so if there are multiple exchanges of multiple prices for these commodities then the monopoly position enjoyed by the us dollar shattered and with that come all the benefits of that and all of the inflation that america has exported to countries like china comes roaring back so those i pods and i pads suddenly instead of band a thousand bucks you're paying three thousand bucks the article also then goes on to mention the e.u. ban on iranian oil imports which comes into forc

navy is making a statement to iran in a critical oil shipping lane, the strait of hormuz. jim miklaszewski is in those waters tonight, getting a chance to see life onboard a u.s. carrier, the "u.s.s. abraham lincoln" where he got a closeup view of some potentially dangerous close encounters. >> reporter: it was daybreak as the u.s. aircraft carrier abraham lincoln got under way, led by a destroyer and a missile cruiser, high-powered protection, the carriers run through the strait of hormuz. as expected, the iranian military came out for a look. an f-27 plane makes a leisurely pass. shortly after, the bridge on the lincoln crackled to life. >> looks like he's out two miles. >> reporter: an iranian patrol boat was closing in fast. within two miles of the carrier, iranian boat finally backed off. lincoln's commander, captain john alexander says his biggest worry is that incidents like this could eventually lead to a fatal miscalculation. >> they have the ability to take a shot at me at some point and that's what i worry about. >> reporter: it's a legitimate concern. we've now

the question is if they close the strait of hormuz, which, as evan indicated, is suicidal. the other question is if the they attack the united states base in bahrain, which is also so set up, because he would bring the americans and europe into the war. the iranian response would be to attack israel and nobody else. >> we also have to note that even if they succeeds, the estimates of the slowing down the iranians are between one and, at long as, three years. it has to be part of the calculus. that is one of the reasons the united states at the moment things it is not worth it and israel appears to think it is. >> i understand that. i'm just fascinated with the administration is an independent actor here, whether the united states is capable or willing to say to israel no or not. i think, very frankly, we are in a political year when governor romney and certainly speaker gingrich has been, if anything, 110% in favor of an aggressive israeli policy and critical of the administration. that is going to be a political factor at home. >> but romney and gingrich are not in office.

increase, especially in the strategic strait of hormuz. the strait which is at its closest point only 30 miles across is the passageway for tankers carrying 1/5 of the oil supply. yesterday, several speed boats and an iranian patrol boat sped toward a u.s. navy aircraft carrier as it made a routine patrol run through the strait. iran has warned the u.s. before that it would use force if patrols continue in the strait. the u.s. and europe are now looking to economically cripple iran in an effort to get them to get the country to back down from its nuclear ambitions. >>> congress reached a tentative deal to extend the payroll tax cut through the end of the year. lawmakers are expected to reveal details of the agreement today. and they could send the measure to president obama as early as this week. the tax cut extension would have expired at the end of the month if no deal was in place. that would have taken about $20 a week out of the average american worker's salary. >>> president obama will begin selling his proposed budget today in wisco

carrier convoy as it passes through the highly volatile strait of hormuz. an iranian vessel got so close u.s. forces had to fire flares to warn them off. the hostile action comes as the president is meeting with the man who may be the next leader of china. a country who supports the west needs if further sanctions against iran ought to be effective. >> it includes the work we ought to be together with hot spots like the korean peninsula. >> the u.s. continues to rachet up sanctions. they seem to be having an effect. irans economy is crumbling as a wave of anti-government protests hit the streets. the iranian government have had to stop sites like facebook and google. some say war isn't inevitable, it's already begun. today, a fresh attack where police say an iranian accidental set off bombs and where police say they found a cash of arms in his house. israel responded with an ominous threat today. a cabinet official told a radio station that israel would quote, settle the score. let's get the latest on this standoff with iran. jim is on the line now. i wonde

especially in the strategic strait of hormuz. the strait which is at its closest point only 30 miles across, is the passageway for tankers carrying 1/5 of the world's oil supply. yesterday iranian navy swift boats attempted to cut off a u.s. navy aircraft carrier as it made a rue even patrol run through the strait. iran has warned the u.s. before that they would use force if patrols continued in the strait. and the u.s. and europe are now looking to economically cripple iran in an effort to get them to back down from their nuclear ambiti ambitions. >>> this morning, new details in whitney houston's final days. just 48 hours before her death, witnesses say houston looked out of it. "people" magazine reports houston was in the gift shop of the beverly hilton hotel and saw herself on the cover of "the national enquirer." she reportedly cursed and yelled, "what is wrong with these people? when did i collapse?" by saturday, she was dead in the batht bathtub. her daughter, bobbi cris kekria yelled, what's wrong with her? the family of

but i want to ask you when 20% of the world's oil supply transits the straits of hormuz, what is the impact on oil prices of the geopolitical issues that we see in the middle east? in other words does the threat of a possible action by israel against iran and possible retaliation, which would include a blockade of the strait of hormuz, does that affect worldwide oil prices? >> yes, sir, it does, and for the reasons you cite, if the street were blocked, that would have a profound impact on the region and the rest of the world and the price of oil. that is one thing that we have to manage very carefully with the nda provisions in imposing more sanctions on iran so that we do not end up in the worst of both worlds. you're quite right, it is a very delicate balance here, and it would clearly have impacts on the oil and the world economy. >> the blockade of the straits of hormuz, because of the blockade of the oil trade -- would you see that that would have a negative impact not only on the global economy in terms of the projections of growth? what i'm getting at is we are coming out of a

hormuz and still those tankers proceeded to push oil through the strait.onse to what michelle was talking about, yes, the iranians, according to u.s. military and intelligence officials, do present a lethal threat. but they think it's obviously limited compared to the u.s. military. and it's no match for the u.s. military. and they also think that the iranians actually have a red line that they would not cross. that they would probably not directly attack u.s. military forces in the region. that would be an act of war. and the u.s. military would strike out and pretty much destroy much of iranian's forces. >> jim, thank you very much. now let's bring in nate hughes, director of tactical intelligence at strike that 4. do you believe there will be a military conflict between iran and u.s., iran and israel or u.s. and israel with iran? >> the real challenge for iran is that its strategy is one of deterrence. the moment hostilities break out, all of iran's military preparations have failed. the real question especially in the strait is with tensions so high th

this is an act of war, to close the strait.o be ready to strike not just against their nuclear installations but against the revolutionary guard. not against the infrastructure of iran itself but against the revolutionary guard and its various manifestations, its ballistic missile programs, its space program, et cetera, because it's the instrument of repression of the iranian people. all the young people loathe it. it's corrupt. it's sort of a combination of hitler's brown shirts and black shirts. and we ought to be ready to move against it. not against iran itself and not just against the nuclear installations. >> and they're above ground. that thought just occurred to me. they're above ground. so that thing is hittable, if that's the right word. do you think, jim, do you think that's why we're getting this announcement reported from the "wall street journal" on their website tonight that we're moving more forces into the persian gulf? do you think it's coming down to that? >> well, it may. i mean, i -- bud mcfarland and i wro

deal with the snake that is iran in his view and iran has been threatening recently to block the straits of hormuz which of course we know is the main export gulf oil. do you think the political consequences of that could be deeply and genuinely worried about what will happen if the iranian chop the strait of hormuz as they promised i think you'll have a situation where we start sleepwalking into war on both sides where there are extremists on both sides who want a conflict who would love a conflict because it would serve their purposes in the west there are people who want to take out iran both for america's national interest so-called and of course for the israelis and in iran there are hardliners who see that the islamic revolution is failing to receive the green movement popular who are seeing lots of people protesting in the region and see a foreign war seeing who see the idea of being under attack as a way of uniting the country so they're hardliners on both sides and i think the people in the middle have to be careful that we don't allow the hardliners to kind of allow us to sleep

we don't know with nigeria, you mentioned sudan, syria, strait of hormuz with iran. when we're talking about supply risk, it is very, very difficult to predict. so i guess the question is, how certain are we that we do have spare capacity in the numbers that you have referenced. and given the volatility that you have with the supply risk out there, how are we dealing with this? you had mentioned, mr. diwan, or excuse me, i guess it was you, mr. jones, you state that to a degree, threats surrounding strait of hormuz have already been priced into the market, while the likelihood of a prolonged stoppage for hormuz transit is seen as being fairly low. so when we're talking about what is going on with the price of oil, what we have available with spare capacity, what we know, and perhaps what we don't know with supply risk, what -- to what degree, ambassador jones, has the uncertainty already been priced into the market? ho do we know that? these are some pretty gnarly questions that we're dealing with here that go to the heart of the reliability of any kind of an assessm

in strait of hormuz. the waterway which is only 30 miles across wide at one point is the passageway for tankers carrying 1/5 of the world's oil supply. yesterday, several speed boats and iranian patrol boats sped toward a u.s. naval carrier as it made a routine patrol run through the strait. nothing escalated after this. iran has warned the u.s. before that it would use force if patrols continued in the strait. >>> the u.s. and europe are now looking to economically cripple iran in an attempt to get it to back down from its nuclear ambitions. >>> things are getting heated between d.c. council members. d.c. council members marion barry and david catania got into a shouting match during a retreat at the washington convention center. they were arguing over the united medical center in southeast d.c. one reporter in the room at the time was alan blinder of the "washington examiner." >> barry for the most part stayed seated during the conversation. catania did get to his feet. and they -- they were never -- yo

the strait leads to the persian gulf. it is one of the most important delivery routes for oil. >>> the wife of an israeli agent and others were injured in a suspected terrorist attack. the woman was in a vehicle and the two others were in a car nearby nearby. a motorcyclist was placing a device on the car when it stopped in traffic. the blast occurred near the prime minister's residence. the area is home to many politicians and is under heavy security. israel's prime minister benjamin netanyahu says this is an exporter of terror. iran has denied involvement. the israeli foreign minister said they found a bomb on a car on wednesday. they are taking precautions. >>> the afghan government has condemned the international forces operating in the country. it says they have killed 15 civilians, incding chilen in rent weeks. a government team investigating civilian casualties held a news conference in kabul. it said french troops were responsible for the deaths of eight children last week. the officials said u.s. air strikes caus

destroyers and ships to counter any iranian fast boats or cruise missiles that mean used to close the strait of hormuz. that is what the defense sources tell the colleagues. they say the pentagon asks congress to reallocate $100 million of the defense fund to make sure there are no gaps in our military's capables in the persian gulf and this is coming two weeks after the pentagon asked for 85 million more for bunker buster bomb upgrades and one day after the international atomic international agency said it has serious concerns about iran's nuclear program near the end of the 11-page report, it says that the agency continues to have serious concerns regarding possible military dimentions to iran's nuclear program. check it out. uranium needs to be enriched at a 90% level to be used in nuclear weapons. twenty% is all iran produced so far. friday's iaea reports that since november, iran's 20% production tripled and that is the level that, once reached, makes it easier to enrich above 90%. as this is going on, our director of national intelligence said last month iran hasn't decided to build a

are kind of turned a blind eye to this and only recently with the radio threatening to block the strait of hormuz we think the third of the world's seaboard oil passes through people started to go away to the what the hell is going to happen to all prices and i think that's a factor the american government's raising as well perhaps less i mean these are any government's reasons he has very much thank you. i am. was shot four times i'm told. there's a. series of boards are still in the lobby. people should be allowed to be. gone from. these people are now. basically. i'm sorry you know the public comes out here and this makes it go bang and if what you hear is going to. that's all the really really crazy and. chilling what i want to philadelphia these are the streets. hopefully we will never have to use the weapons for self defense but we should be put. they are not full class including the teacher i think it was. seventeen students. thirty one are seven boys told. mission free accreditation free transport charges free. range from and free. free free studio time free. download free broad

the narrow strait is heavily patrolled by the iranian navy. a news agency says tehran will announce a new plant near the -- >>> whitney houston's family has decided to hold a private funeral to honor the music icon this weekend. services will be held on saturday at the same church in newark where she sang as a child. it will be invitation-only. per family is asking that any donations in her memory be sent to the public school in new jersey that now bears her name. new jersey flags will fly at half-staff in her honor. the investigation into her death is shifting to the prescription drugs found in her room and how she got them. tmz reports houston told friends in the days leading up to her death that she really wanted to see jesus and had premonitions of her own death. 20/20 will air a two hour whitney houston special friday night at 9:00. >>> 4:45. it only took one call to prompt police to issue a warning about a scam. >>> one of the democrats' rising stars gets a big honor. the major role the mayor of los angeles will be playing at the party's