The threat of open warfare erupting between the arch Middle East foes and dragging in the United States put the region on edge, triggering calls for restraint from global powers and Arab nations to avoid further escalation.

"The Middle East is on the brink. The people of the region are confronting a real danger of a devastating full-scale conflict. Now is the time to defuse and de-escalate," United Nations Secretary-General Antonio Guterres told a Security Council meeting called on Sunday in response to the strikes.

Deputy US Ambassador to the UN Robert Wood called on the council to unequivocally condemn Iran's attack, as he said Washington would explore additional, unspecified measures at the United Nations to hold Iran accountable and warned against further aggression.

"Let me be clear: if Iran or its proxies take actions against the United States or further action against Israel, Iran will be held responsible," he said.

As Washington stressed its desire to avoid escalation, Secretary of State Antony Blinken and Defense Secretary Lloyd Austin spoke to counterparts including in Saudi Arabia, Turkey, Egypt and Jordan, stressing the need to avoid escalation, the importance of a coordinated diplomatic response, and emphasizing that the United States will continue to support Israel's defense.

Israeli officials said Netanyahu's five-member war cabinet favored retaliation in a meeting on Sunday, although the panel was divided over the timing and scale of any such response. 

Markets were nervous about the risk of a broader war but calm in early Asia trading, with oil prices lower, gold higher and the dollar holding steady.

Iran launched the attack over a suspected Israeli strike on its embassy compound in Syria on April 1 that killed top Revolutionary Guards commanders and followed months of clashes between Israel and Iran's regional allies, triggered by the war in Gaza.

However, the attack by more than 300 missiles and drones caused only modest damage in Israel. Most were shot down by Israel's Iron Dome defense system and with help from the US, Britain, France and Jordan.

President Joe Biden said US forces helped Israel shoot down nearly all the drones and missiles fired by Iran Saturday, but appeared to guide the key US ally away from retaliating against Tehran by saying Israel had now shown its strength.

Biden added that he was convening fellow G7 leaders on Sunday to coordinate a diplomatic response against Tehran, in another sign that he is trying to avoid any further military escalation that could ignite a wider Middle East conflict.

The US president said he had called Israeli Prime Minister Benjamin Netanyahu to reaffirm Washington's "ironclad" support for Israel, after recent tense relations over Israel's war in Gaza.

"I told him that Israel demonstrated a remarkable capacity to defend against and defeat even unprecedented attacks -- sending a clear message to its foes that they cannot effectively threaten the security of Israel," he said.

He said he had ordered US military aircraft and ballistic missile defense destroyers to the Middle East in recent days, as the likely threat following a presumed Israeli strike on Iranians in Damascus became clear. 

"Thanks to these deployments and the extraordinary skill of our servicemembers, we helped Israel take down nearly all of the incoming drones and missiles," Biden said.

Biden said he would on Sunday "convene my fellow G7 leaders to coordinate a united diplomatic response to Iran's brazen attack."

His comments hinted at the US balancing act between supporting its ally and wanting to deescalate tensions, amid fears of Washington being dragged into another Middle East war.

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