Trump’s Iran Threat Sends Shockwaves Through Global Markets — Oil Surges Past $111 Per Barrel

Washington / Global Markets
Global financial markets plunged into turmoil as the trading week opened under a cloud of fear and uncertainty, after US President Donald Trump issued a stark warning to Iran, threatening total annihilation if Tehran failed to swiftly pursue a peace deal.
Crude oil prices surged past $111 per barrel, triggering a sharp sell-off across major stock exchanges worldwide. Investors rushed to offload shares as fears of a new and severe global energy crisis deepened.
The epicentre of the crisis is the Strait of Hormuz — the narrow waterway through which nearly 20% of the world’s oil supply passes — where escalating tensions are stoking fears of a potential disruption that could send energy prices spiralling further.
Trump issued the blunt warning in characteristically stark language, declaring: “Iran must move quickly toward a peace agreement — otherwise, there will be nothing left of them.”
The fallout was immediate. Stock markets across Asia, Europe and the Americas fell sharply. Economists warned that sustained oil prices above $110 per barrel could reignite inflation across major economies that have only recently begun to stabilise after years of price pressures.
Analysts noted that the Strait of Hormuz remains one of the world’s most strategically critical chokepoints. Any military escalation in the region risks cutting off energy supplies to Europe and Asia, potentially triggering a crisis far more severe than recent disruptions.
Financial markets are now on high alert, with traders closely watching diplomatic developments between Washington and Tehran. Gold prices also rose as investors sought safe-haven assets amid the growing uncertainty.