According to international media reports, Israel has launched a missile counterattack on an Iranian target.
Explosions were reported in Isfahan province, central Iran, which houses the country’s nuclear plant.
The International Atomic Energy Agency (IAEA) later stated that there was no damage to the plant.
Israel promised to respond to Iran’s missile and drone attacks last weekend.
Iran launched the attacks in response to an apparent Israeli strike on its embassy in Syria on April 1, which killed senior security officials.
A US official told ABC News that Israel conducted a strike inside Iran, confirming reports of the explosion in the Asian country’s media.
There have also been reports of explosions in Iraq and southern Syria.
Commercial flights were diverted as parts of Iranian airspace were closed.
Iran says it has activated its air defence systems.
According to various officials quoted in the media, Israel has no plans for further attacks, and Iran will not retaliate.
Brent crude is now trading above $90 per barrel, up from $87 before the strike.