Trump Iran strikes are set to intensify for “two to three weeks,” President Donald Trump said in a prime-time address, and markets immediately repriced the risk. Brent crude climbed nearly 7% to around $108 a barrel and Asian equities slid as investors moved into the U.S. dollar.
What Trump said in the prime-time address
In a televised speech on Wednesday night, Trump said the U.S. is “getting very close” to achieving its aims in the conflict with Iran and that the campaign could be over in “two to three weeks,” according to Reuters. He also said the U.S. would keep hitting Iran “extremely hard” over that period.
The address offered no detailed outline for a ceasefire or a diplomatic off-ramp. That absence mattered to traders because it leaves the duration of supply disruption in the Gulf tied to military and maritime risk rather than a stated timeline.
Trump again pressed countries that depend on Gulf energy flows to take the lead in reopening the Strait of Hormuz, a key transit route for oil and gas. AP reported he did not address a looming deadline he had previously set for the strait to reopen, leaving markets without a clear mechanism for normalizing shipping in the near term.
Oil jumps and risk assets reverse
Brent crude futures rose $6.84, or 6.8%, to $108 per barrel by 6:43 a.m. GMT on Thursday, Reuters reported. U.S. West Texas Intermediate gained $6.40, or 6.4%, to $106.52 per barrel.
Equity markets in Asia sold off alongside the renewed move higher in oil. Japan’s Nikkei 225 fell 2.4%, while South Korea’s Kospi dropped 4.5%, AP reported; Hong Kong’s Hang Seng fell 1.3% and Australia’s S&P/ASX 200 declined 1.1%.
Currencies moved in a standard “risk-off” pattern. The dollar index rose about 0.5% and sterling fell 0.7% to around $1.321, Reuters reported, as investors treated the U.S. currency as the main refuge while oil prices climbed.
Why this matters for the global economy
1) Energy supply risk stays priced in
The central market message was simple: without an explicit ceasefire plan, the chance of prolonged disruption remains on the table. Reuters quoted analysts who said oil could test fresh highs if maritime risks intensify or if shipping through the Gulf becomes more dangerous or expensive.
Threats to maritime traffic have increased as the conflict has intensified. Reuters reported that an oil tanker leased to QatarEnergy was hit by an Iranian cruise missile in Qatari waters, an incident that added to investor anxiety about shipping security and insurance costs.
2) Inflation expectations and policy bets get distorted
Higher crude prices feed into fuel, transport and industrial costs and can re-ignite inflation pressure even if the shock is temporary. For import-dependent economies, the squeeze is often fastest through gasoline and diesel prices and then through freight and food.
The head of the International Energy Agency cautioned that disruptions could start to affect Europe’s economy in April as earlier cargoes contracted before the war are worked through, Reuters reported. That timing matters because it shifts the shock from “paper” pricing into physical supply and budgeting decisions.
3) A broader “risk-off” tightening can follow
A jump in oil combined with a stronger dollar can tighten financial conditions quickly, particularly in Asia where many economies rely on Middle East energy. Reuters described the pattern as a return to March’s playbook: selling stocks, buying dollars and cutting risk ahead of headline-driven volatility.
For companies, the transmission is practical: hedges get more expensive, shipping routes become less predictable and customers delay orders when energy costs swing. For households, the channel is blunt: fuel and utility bills rise first.
What’s clear and what remains unclear
What is clear is the immediate repricing. Trump’s “two to three weeks” framing and vow of heavier strikes coincided with a sharp move higher in Brent and a drop in Asian equities, alongside a stronger dollar, as reported by Reuters and AP.
What remains unclear is the exit path. Reuters and AP both noted the lack of concrete detail on how hostilities would end or how the Strait of Hormuz would be reopened, leaving investors to trade the conflict as an open-ended supply risk rather than a defined campaign with a set timetable.
What to watch next
Markets will focus on whether there is any operational shift that changes physical oil flows: shipping safety in the Gulf, insurance rates, and any official steps tied to reopening the Strait of Hormuz. In parallel, investors will watch for U.S. and allied statements that indicate a diplomatic channel or a defined set of conditions for de-escalation, because that is the mechanism that would take “Trump Iran strikes” risk out of energy prices.