Trump’s Iran ultimatum sparks oil surge, market turmoil

Trump’s demand for Iran’s surrender sent oil above $90, hit global markets, disrupted shipping and flights, and deepened the energy crisis amid rising geopolitical tensions.

President Trump has announced that the United States will only accept Iran’s unconditional surrender, eliminating the prospect of a negotiated settlement. This declaration, made via Truth Social, has heightened geopolitical tensions and sparked significant market volatility. Brent crude oil prices surged above $90 per barrel, reaching multi-year highs. Major global stock indices, including the Dow Jones, S&P 500, and Nasdaq, suffered notable declines. The closure of the Strait of Hormuz immobilized 147 ships, disrupting global shipping routes. Maersk suspended key routes, and over 23,000 flights to the Middle East were canceled. QatarEnergy declared force majeure following a drone attack, while officials warned that ongoing conflict could force Gulf energy producers to halt operations. The U.S. labor market also weakened, with payrolls declining and unemployment rising, complicating the Federal Reserve’s policy as inflation remains above target. The conflict’s impact has triggered a global energy crisis and increased economic uncertainty.