Oil prices surge as Trump signals prolonged Iran blockade
Oil prices have reached four-year highs following warnings from Donald Trump that the US blockade of Iranian ports could continue for months. Stocks in major Asian markets slipped as traders reacted to concerns over prolonged disruption in the Strait of Hormuz. Trump insisted the blockade would not end until Iran agrees to address its nuclear programme. Meanwhile, tech stocks showed resilience, buoyed by strong earnings from major companies and a surge in AI-related demand.
TLDR
- Donald Trump warned the US blockade of Iranian ports could last for months, unsettling global markets.
- Oil prices surged to their highest levels since 2022, with Brent crude peaking at $122.53 and West Texas Intermediate around $108.
- Major Asian stock markets, including Tokyo, Hong Kong, and Shanghai, recorded declines, while some markets like Singapore saw gains.
- Tech stocks remained strong, with Samsung Electronics reporting a 750 percent surge in operating profit due to AI chip sales.
- The Federal Reserve held interest rates steady amid inflation fears, with dissent among its decision-makers and a leadership change from Jerome Powell to Kevin Warsh expected next month.
