LAGOS — Global oil prices jumped more than 5% Thursday morning following a televised address by President Trump, who warned that the United States would hit Iran “extremely hard” over the next several weeks. The remarks effectively ended a brief market rally fueled by hopes of an immediate ceasefire, signaling a significant escalation in the ongoing conflict.
The international benchmark Brent crude surged 7.4% to reach $108.69 per barrel, while U.S. West Texas Intermediate (WTI) climbed over 7% to trade at $107.24. The spike reversed Wednesday’s gains, which had seen prices dip below $100 on speculation that the conflict was nearing a diplomatic resolution.
Speaking from the White House on Wednesday night, the President shifted toward more aggressive rhetoric, stating that while military objectives are “nearing completion,” the U.S. would intensify strikes to “finish the job” within the next two to three weeks. “We are going to hit them extremely hard… We’re going to bring them back to the Stone Ages, where they belong,” the President said during the address.
This follows Tuesday ultimatum , were Trump told US allies – specifically targeting the United Kingdom that countries facing severe jet fuel shortages must either buy energy directly from the United States or deploy their own militaries to “take” control of the Strait of Hormuz.
Investors reacted sharply to the lack of a clear plan to reopen the Strait of Hormuz , a vital maritime chokepoint currently blocked due to the hostilities. The continued closure threatens approximately 20% of the world’s daily oil supply.
