US stock futures declined on Monday after a weekend of volatile developments reignited US-Iran tensions, leaving investors bracing for more uncertainty.
Today, the Dow Jones Industrial Average futures dropped 0.7%. Meanwhile, contracts on the S&P 500 and Nasdaq 100 both declined about 0.6%.
The fall comes after Iran’s pledge to retaliate following the US Navy’s attack on an Iranian cargo ship, which damaged its engine room, as stated by President Trump. On Saturday, Iran fired at ships and halted traffic in the Strait of Hormuz, breaking its promise to permit some vessels to pass, claiming that the US had violated a ceasefire agreement.
President Trump called the situation a “complete violation” of the ceasefire agreement, saying American and Iranian negotiators would resume talks in Islamabad on Monday.
The President wrote on Truth Social:
“My Representatives are going to Islamabad, Pakistan — They will be there tomorrow evening, for Negotiations. Iran recently announced that they were closing the Strait, which is strange, because our BLOCKADE has already closed it. They’re helping us without knowing, and they are the ones that lose with the closed passage, $500 Million Dollars a day!”
“The United States loses nothing. In fact, many Ships are headed, right now, to the U.S., Texas, Louisiana, and Alaska, to load up, compliments of the IRGC, always wanting to be “the tough guy!” We’re offering a very fair and reasonable DEAL, and I hope they take it because, if they don’t, the United States is going to knock out every single Power Plant, and every single Bridge, in Iran. NO MORE MR. NICE GUY! They’ll come down fast, they’ll come down easy and, if they don’t take the DEAL, it will be my Honor to do what has to be done, which should have been done to Iran, by other Presidents, for the last 47 years. IT’S TIME FOR THE IRAN KILLING MACHINE TO END! President DONALD J. TRUMP”
Following the escalations, West Texas Intermediate futures soared over 6% to $89 per barrel, while Brent increased 5.6% to $95.50 a barrel.
By CEO NA Editorial Staff
