Oil Prices Jump to 2-Week High as Trump Says Iran Truce Is Over

Oil prices have shot up to their highest levels in more than two weeks after President Donald Trump suggested that the cease-fire (a temporary agreement to stop fighting) between the U.S. and Iran was over.

Speaking at a NATO summit in Turkey, Trump called Iran's leaders "scum" and "cuckoo," and warned the U.S. would "probably hit 'em hard tonight." These comments spooked investors, who fear renewed conflict could disrupt the flow of oil around the world.

Here's how much prices moved:

• Brent crude (the main global oil price benchmark) rose 7.6% to $79.80 a barrel — its highest since June 22.
• West Texas Intermediate (WTI) (the main U.S. oil benchmark) climbed 6.7% to $75.15 a barrel.
• Together, the two-day rally topped 9% — the biggest jump for WTI since late April.

The rise actually started on Tuesday, when the U.S. cancelled Iran's permission to sell oil (called revoking sanction waivers). This happened after suspected Iranian attacks on ships in the Strait of Hormuz — a narrow but vital sea route that a huge share of the world's oil passes through.

Overnight, the two countries exchanged military strikes. The U.S. said it hit over 80 Iranian targets, and Iran said it fired back at 85 U.S. military bases in Bahrain and Kuwait.

Why does this matter for regular people? When oil gets more expensive, so does gasoline and many everyday goods. Experts warn this could bring back inflation (the general rise in prices over time) just as it was starting to cool down. Higher inflation could also affect interest rates (the cost of borrowing money set by central banks) and slow economic growth.

One analyst noted the world still has plenty of oil overall — the real worry is whether it can be safely transported to where it's needed. If conflict blocks those routes, prices could climb even higher.

This is an AI-generated summary. Read the original article at: https://www.marketwatch.com/story/oil-prices-jump-by-the-most-in-two-months-after-trump-suggests-u-s-iran-cease-fire-is-over-9fa7caee?mod=mw_rss_topstories