Iran completed its missile tests Monday and they were hailed a success, according to the head of Iran's Revolutionary Guard Air Force.
The tests were designed to show Tehran's preparedness to crush any military threat from another country.
Media reports suggested the tests included the firing of a long-range missile capable of hitting a target 1,200 miles away, which puts Israel directly within striking distance.
The military exercise was also a test of international patience that is already wearing thin.
Click play for more on the situation in Iran with Walid Phares from the Foundation for the Defense of Democracies. Also, click here for more analysis from CBN News International Correspondent George Thomas.
Last week, the United States revealed that it knew Iran had a secret Iranian nuclear facility.
"The Islamic Republic of Iran has been building a covert uranium enrichment facility near Qom for several years," President Obama said at a newsconference at the G-20 Summit in Pittsburg, Pa. on Friday.
The U.S. and its allies believe the Iranian facility has been used to enrich uranium for nuclear weapons. U.S. intelligence estimates the Iranians could be capable of producing a nuclear weapon in about one to five years.
But Iran's president, who has said Israel should be "wiped off the map," insists the facility is for peaceful nuclear power.
"How can he (Obama) possibly accuse us of secretly engaging in an activity that did not take place?" asked Iranian President Mahmoud Ahmadinejad.
After an international outcry and demands for access, Iran said it will allow U.N. nuclear inspectors into the site, but few are buying Iran's claims that all it wants is clean energy.
"We don't believe that they can present convincing evidence that it's only for peaceful purposes," said U.S. Secretary of State Hillary Clinton. "We're going to put them to the test."
U.S. Secretary of Defense Robert Gates discussed Iran's nuclear threat on Sunday's ABC "This Week."
"This is part of a pattern of deception and lies on the part of the Iranians from the very beginning with respect to their nuclear program," he said. "The missile tests and the revelation of Iran's secret site are the latest examples of Iran not complying with U.N. resolutions."
And these revelations came just days ahead of direct talks in Geneva between Iran and six major powers.
"Confronted by the serial deception of many years, the international community has no choice today but to draw a line in the sand," British Prime Minister Gordon Brown said on Friday with Obama and French President Nicolas Sarkozy standing alongside.
Some analysts believe Tehran's missile tests may be a way to gain leverage going into this week's meeting, but the Obama administration has other plans.
U.S. officials are working on putting together a tough package of economic sanctions that could include cutting off Iran's oil and gas investments and adding more restrictions to Iranian banks.
But that is easier said than done.
China and Russia have close economic ties with Tehran and may not be so eager to go along.