US Secretary of Defense Leon Panetta said Thursday that any possible military strike against Iran would have consequences for the world economy

US Secretary of Defense Leon Panetta said Thursday that any possible military strike against Iran would have consequences for the world economy.

"I have to tell you… there are going to be economic consequences to that, that could impact not just on our economy but the world economy," he told reporters on Thursday.

The Pentagon chief once again threatened the Islamic Republic with diplomatic pressure and sanctions.

"Obviously to go beyond that raises our concerns about the unintended consequences that could result," Panetta was quoted as saying by Reuters.

On November 8, International Atomic Energy Agency (IAEA) Director General Yukiya Amano released a report claiming that Iran was engaged in activities aimed at developing nuclear weapons.

Tehran has rejected the report as "unbalanced, unprofessional and prepared with political motivation and under political pressure by mostly the United States."