US-Iran tensions erupt after a ship attack in the Strait of Hormuz, exposing the real trigger behind the latest Gulf escalation and fragile regional diplomacy.

Clashing interpretations of vague memorandum of understanding language on Hormuz at heart of escalation, analysts say.

The U.S. and Iran's contradictory interperations of the memorandum of understanding have led to renewed fighting over the Strait of Hormuz.

Renewed strikes deepen fears over oil supplies and regional stability