The U.S. and Saudi Arabia have determined Iran was behind the coordinated attack on Saudi oil facilities last weekend.
After a day of meetings in Iran, Secretary of State Mike Pompeo is calling the attack an "act of war," but President Trump says he's not ready to launch a military strike.
However, the President did announce new sanctions on Iran.
''We are doing it the right way, we are doing it the smart way, it's very easy to go in" said President Trump.
A U.S. official tells CBS News the attack was approved by Iran's supreme leader, Ayatollah Khamenei but only on the condition it be carried out in a way that made it possible to deny Iranian involvement.
Yesterday in Saudi Arabia, the kingdom's defense ministry showed surveillance video and debris it says is from Iranian cruise missiles and drones used in the strikes.
Iran denies any involvement and warned the U.S. it will immediately retaliate if targeted. Yemen's Iranian-backed Houthi rebels have claimed responsibility.
It's now unclear if Iranian leaders will come to New York for next week's United Nations General Assembly.