Global stock markets fell sharply on Thursday, while oil prices surged, following statements by Donald Trump announcing the continuation and intensification of US strikes against Iran.
Investors now fear a lasting energy supply crisis, particularly around the Strait of Hormuz.
Financial markets fell sharply on Thursday, following a new escalation of rhetoric and military conflict between Washington and Tehran. US President Donald Trump's remarks, in which he stated that the United States would continue to strike Iran "extremely hard over the next two to three weeks," reignited fears of a protracted conflict in the Middle East.
On Wall Street, the reaction was immediate: the S&P 500 index fell 1.1% in the morning, while the Dow Jones dropped 545 points, or 1.2%. The Nasdaq declined by 1.6%. Major European and Asian markets also closed lower, reflecting growing investor nervousness in the face of the lack of a clear prospect of de-escalation.
This correction comes as markets had previously traded in anticipation of a swift resolution to the conflict. Despite this pullback, the major indices are still pointing towards a positive weekly close, as Thursday's session is the last before Wall Street closes for Good Friday.
On the energy front, the tension was even more dramatic. US West Texas Intermediate (WTI) crude oil jumped more than 11%, reaching $113.97 a barrel during the session, its strongest absolute increase since 2020. Around 4:10 PM GMT, it was trading at $111.27, up $11.19.
North Sea Brent crude followed the same trajectory, rising 6.3% to $107.50 a barrel. Notably, WTI traded at a premium of nearly $3 over Brent, a situation not seen in a year.
Operators are primarily concerned about prolonged disruptions to global supply, especially given that the Strait of Hormuz, a strategic waterway for a major share of global hydrocarbon exports, remains a central issue. Donald Trump has offered no details on the conditions for a potential reopening of the strait, while dozens of countries are seeking solutions to restore maritime energy traffic.
Analyst projections reflect this volatility: according to Citi, Brent could settle on average at $95 a barrel in the central scenario, but climb to $130 in the second half of the year if the crisis worsens.
