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March 28, 2007 -- The U.S. military has denied reports that Iran fired a missile at a U.S. ship in the Persian Gulf.
A U.S. naval spokesman said such reports had been checked and turned out to be untrue.
Still, the rumors pushed up oil prices. It comes as the U.S. kicked off a military operation in the Persian Gulf on March 27 that commanders said was meant to send a warning to Iran.
Meanwhile, U.S. Defense Secretary Robert Gates said in Washington on March 27 that the U.S. government is open to talks with Iran. But in a speech to the American-Turkish Council, Gates said the United States should have no illusions about the nature of the Tehran government and its nuclear intentions.
He also called on Iran to encourage political reconciliation and a reduction in violence in Iraq.
(AP, AFP, Reuters)