US-Iran Strikes Rattle Markets as Strait of Hormuz Stays Shut
Fresh US-Iran military exchanges over the weekend pushed oil above 4% gains while equities and gold fell sharply to open the new week.
A new trading week opened Monday under the shadow of escalating US-Iran hostilities, with both nations exchanging fresh strikes over the weekend and no ceasefire in sight — rattling global financial markets across nearly every asset class. The United States hit dozens of Iranian targets in a new wave of attacks, while Iran retaliated by launching ballistic missiles at Jordan, further deepening the regional crisis.
President Trump acknowledged that talks between the two sides could theoretically continue, but made clear that any prior ceasefire agreement is effectively void. The developments arrive more than three weeks after a ceasefire deal — which was supposed to resolve the conflict within 60 days — was signed, with neither side having meaningful progress to show for it.
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The Strait of Hormuz, one of the world's most critical oil chokepoints, remains in de facto closure, and that is the single biggest driver of market anxiety right now. WTI crude surged roughly 4% to $74.33 per barrel to start the week, while Brent crude climbed similarly to $79.10 — a clear signal that energy traders see no quick resolution ahead.
The risk-off mood spread rapidly across broader markets. S&P 500 futures dropped 0.5% and Nasdaq futures fell 1.4%, while 10-year US Treasury yields climbed back to 4.58%, retesting June highs. Precious metals offered no safe haven, with gold sliding 1.6% to $4,054 and silver shedding nearly 3% to $58.10 as European trading approached.
With both Washington and Tehran appearing nowhere near a negotiating table, analysts say headline risk will continue to dominate sentiment. Continue reading at Forexlive.
