Oil Prices Surge Over 6% After Trump Declares Iran Ceasefire ‘Over’

NEW YORK — Global oil prices spiked sharply on Wednesday after U.S. President Donald Trump stated that a fragile ceasefire with Iran was effectively finished, heightening concerns over potential supply disruptions in the Middle East.

Benchmark U.S. crude futures jumped more than 6% in trading, reflecting investor anxiety following Trump’s comments made on the sidelines of the NATO summit in Ankara, Turkey. The remarks came after recent U.S. military strikes on Iran in response to attacks on three ships in the Strait of Hormuz, a critical chokepoint for global oil transport.

When asked about the status of the ceasefire, Trump told reporters: “It’s just a waste of time dealing with them.” However, he indicated that diplomatic talks could still proceed.

Market Reaction and Broader Context

The surge in oil prices adds to volatility in energy markets already strained by geopolitical tensions. Analysts noted that any escalation could further threaten oil flows through the Strait of Hormuz, through which a significant portion of the world’s seaborne crude passes.

This development aligns with Trump’s earlier announcements at the NATO summit, where he also criticized a NATO ally and declared an interim accord with Iran to be over. The statements have contributed to uncertainty in financial markets, with ripple effects on stocks, interest rates, and broader economic sentiment.

Other Market Moves

• Stocks and Rates: Wall Street indexes showed mixed reactions amid the geopolitical headlines and expectations around Federal Reserve policy.
• AI and Tech: Separate reports highlighted ongoing interest in artificial intelligence investments, though caution persists among some investors.

The situation remains fluid, with potential implications for global energy security and inflation pressures as central banks monitor developments.