The countries have been trading blows a day after Israel’s blistering attack on Iranian nuclear and military sites.

Tel Aviv stocks erased morning losses and moved nearly 1% higher on Sunday in the first trading session since the start of a wave of missile strikes between Israel and Iran on Friday, as Israel and its economy attempt to remain as open as possible.

The retaliatory strikes came on Saturday, a day after Israel killed top Iranian military leaders and scientists and destroyed an aboveground nuclear enrichment plant near Natanz.

President Donald Trump has warned Iran the U.S. would retaliate to an attack by Tehran with its "full strength and might" as Israel and Iran launched fresh strikes overnight. On Friday, Israel launched the first of a series of airstrikes across Iran,