European ambassadors called back from Iran
In the wake of Tuesday’s attack on the UK embassy in Iran, several EU countries have voiced their disapproval.  The UK has not only pulled all of its diplomats from the country, but has closed the Iranian embassy in London, though this is not yet permanent.  The NY Times is reporting that Netherlands, Germany, and France have recalled their ambassadors, with Italy considering a similar move, and Norway closing its embassy “as a precaution” (NY Times 12/1).  The same article warns that such steps are likely to complicate any future attempts to negotiate with Iran over its nuclear program, as such diplomatic lines have served in the past as a means of contact especially for the U.S., which hasn’t had an embassy in Iran for over 30 years (despite what Michelle Bachmann may think).  Barbara Slavin writes that, while the downgrading of diplomatic relations with Iran might help further isolate Iran, this comes at the cost of increasing tensions that could spiral out of control (Slavin IPS 12/1).
Joint Chiefs Chairman: Israel may not notify U.S. if it strikes Iran
General Martin Dempsey, the chairman of the Joint Chiefs of Staff, told Haaretz that the U.S. would be alerted by Israel if it attacks Iran.  Dempsey says that the U.S. believes sanctions and diplomatic pressure are the best way forward right now, but that he is “not sure the Israelis share our assessment of that” and may move without the U.S. (even if this forces the U.S. into war) (Haaretz 11/30).  This came the same day that President Obama told donors at a campaign event that Israel is the United States’ “most important ally” and we would not compromise when it comes to Israel’s security (Reuters 11/30).  Defense Secretary Leon Panetta last week met with Israeli Defense Minister Ehud Barak and raised American concerns about the unintended consequences of military strikes against Iran.  According to a report by AFP, Israeli Defense Minister Ehud Barak says that Israel is holding off an military strikes “for the moment” but that all options remain on the table for the future.
EU imposes new sanctions but oil embargo questionable
Today the EU decided to increase existing sanctions on Iran by placing travel bans on and freezing the assets of an additional 180 Iranian individuals and companies (Radio Free Europe 12/1).   Reuters is reporting that the UK has decided to support an oil embargo against Iran, whether it is “unilaterally or with France and Germany” (Reuters 11/30).  The Wall Street Journal writes that for the EU’s part, it has not yet decided on whether to implement an oil embargo against Iran, and that Greece is leading opposition to the measure, as they fear it could damage their struggling economy (Wall Street Journal 11/30).   With this increased talk of an oil embargo against Iran, Bloomberg reported today that crude oil is trading at a two week high, and concern over an embargo in the EU is a major driver for this (Bloomberg 12/1).
Additional Notable News:

The U.S.’s economic sanctions on Iran has created confusing conditions for Iranian Americans trying to send money to their families in Iran, reports NPR.
US News is reporting that Iranian sanctions could actually do more harm to the West than to their intended targets in Iran.
The Financial Times reports that the recent increase in tensions with the West are pushing Iranian politicians to ratchet up their rhetoric against the West.
Expanding international trade in surveillance technologies is a growing concern because, as a Washington Post article reports, once such technologies are getting into the hands of the Iranian regime and assisting in their suppression of dissenters.