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Trump Signals Months-Long Iran Port Blockade as Oil Hits Four-Year Highs

Markets brace for a longer supply shock linked to U.S. plans to keep pressure on Tehran.

Overview

  • Oil prices jumped Wednesday after President Trump warned the naval blockade on Iranian ports could last months, with Brent briefly near $126 and U.S. crude above $110 before easing Thursday.
  • The White House met Tuesday with Chevron and major trading firms to plan how to sustain the blockade and blunt costs for consumers, according to officials and company confirmations.
  • U.S. Central Command said it has redirected the 42nd commercial vessel and tallied 41 tankers holding 69 million barrels that Iran cannot sell, marking a stepped-up enforcement push.
  • Diplomacy remains stalled after Tehran’s latest proposal to reopen the Strait of Hormuz, and Trump says any relief depends on verifiable limits that prevent Iran from obtaining nuclear weapons.
  • The Federal Reserve kept interest rates unchanged and cited war-driven uncertainty as households face higher gas and airfare costs, with the strait carrying about one-fifth of global oil shipments.