Market Turmoil Deepens as Trump Vows to "Hit Iran Extremely Hard"

Global markets react to President Trump’s vow to intensify strikes on Iran. Brent crude jumps 6% as the Strait of Hormuz remains closed and Tehran warns of destructive retaliation.

By: AXL Media

Published: Apr 2, 2026, 4:46 AM EDT

Source: Reuters

1. Energy Shock: Brent Crude Climbs 6%

Investor anxiety over the continued blockade of the Strait of Hormuz—a transit point for 20% of the world's oil and LNG—fueled a massive surge in energy prices.

Benchmark Pricing: Brent crude jumped to $107.69 per barrel.

The "Courage" Challenge: Trump notably challenged allies who rely on Middle Eastern oil to "go to the Strait and just take it," stating the U.S. is energy independent and will not bear the sole burden of reopening the waterway.

Economic Impact: The IMF and World Bank warned of "substantial, global and highly asymmetric" economic damage, preparing coordinated financial support for nations hit hardest by the price shock.

2. Global Markets in the Red