The Iran war is going badly for the US: casualties are rising, the war's goals are unmet, and the economic fallout is hitting Americans too.

• Official US casualties in the Iran war have climbed to 776 troops wounded or killed, with the Pentagon accused of releasing the numbers slowly to blunt public anger.
• Nearly half those casualties came in the second, much shorter round of fighting, a sign Iran is hitting back harder than before.
• Foreign officials now read the war as a clear American defeat, with none of Washington's strategic goals achieved.
• Sanctions on Iran are boomeranging: the Strait of Hormuz chokepoint is squeezing oil and gas supply, pushing US inflation up.
• Iran has warned it will treat any base used to attack it as a target, including in Bulgaria, a NATO member.

Outlook: With more aggressive leaders now running Iran's military response, the risk of the war spreading into Europe is real and rising.