US Banks Issue Emergency Warning Over Iranian Retaliation Attacks

Jakarta, CNBC Indonesia - The war in the Middle East is heating up. The initial strikes carried out by the United States and Israel against Iran have intensified the escalation, especially after Iran’s Supreme Leader Ayatollah Ali Khamenei was killed, hailed by supporters as a martyr. Iran has vowed to retaliate against the actions of the US and Israel and to strike Middle Eastern countries hosting US military bases. Critical infrastructure such as data centres and oil-and-gas production facilities are among the targets. Fears about conditions in the Middle East are also spreading to the US. The US financial services industry has issued emergency warnings about the potential for large-scale cyberattacks that could occur at any moment. Banking companies are reported to be tightening oversight for a range of threats that typically rise during periods of geopolitical conflict, according to executives and analysts. Cyber security has long been a priority for the financial services industry operating critical infrastructure in the US, including payments, clearing and settlement systems, and trading platforms and financial markets. Industry data indicate that this infrastructure is a primary target for cyber attacks. “The industry remains vigilant and ready to respond to cyber threats at all times, and especially when global cyber security risk is elevated,” said Todd Klessman, managing director for Financial Cybersecurity and Technology Services at the SIFMA industry group, quoted by Reuters, on Wednesday (4/3/2026). SIFMA runs annual drills to ensure financial firms can operate through significant cyber emergencies. “We continue to monitor the evolving situation and focus on operational resilience, which underpins the integrity and stability of the US capital markets,” Klessman added. Several veteran banking industry leaders also admit they are deeply concerned about the risk of cyber attacks. They believe such attacks will occur. US Intelligence Outlines Potential Cyber Attacks According to a US intelligence assessment, hacktivists affiliated with Iran could launch low-level cyber attacks against US networks, for example by distributing DDoS attacks, where attackers flood servers with internet traffic to degrade systems. Morningstar DBRS said on Tuesday (3/3) that the most significant risks to global banks and asset managers are likely indirect, including a sustained rise in oil prices and shocks to borrowers. The agency also warned that cyber risk could rise. “Iran could escalate its cyber attacks against Western entities, including banks,” the rating agency said. Lazard, the US investment bank’s geopolitical advisory team, also this week highlighted cyber risks, noting that Iran has shown willingness to deploy cyber capabilities against commercial targets, including the financial system. According to FS-ISAC’s 2025 report, a financial services industry consortium, the sector was the primary target of DDoS attacks in 2024, with the Hamas-Israel and Russia-Ukraine wars triggering a surge in hacktivism. Although the industry has not experienced major disruption from unwanted attacks in recent times, small-scale DDoS attacks and ransomware have disrupted parts of the market. A ransomware attack in 2023 on ICBC’s US broker-dealer unit disrupted the settlement of several US government bond transactions.