Oil prices saw a significant uptick on Tuesday morning following remarks from President Trump regarding a potential military action in Iran. As tensions escalated, Brent crude futures, which serve as the international pricing benchmark, experienced a rise of 1.3%, pushing prices above $111 per barrel. Meanwhile, West Texas Intermediate (WTI) crude, the US benchmark, gained an impressive 3.3%, reaching around $116 per barrel.
In a post on Truth Social, President Trump expressed grave concerns over the looming situation, stating, “A whole civilization will die tonight, never to be brought back again. I don’t want that to happen, but it probably will.” Trump also hinted at possible negotiations, mentioning, “However, now that we have Complete and Total Regime Change, where different, smarter, and less radicalized minds prevail, maybe something revolutionarily wonderful can happen, WHO KNOWS?”
The backdrop to these comments includes a deadline set by Trump for 8 p.m. ET on Tuesday, indicating that if Iran does not agree to a deal by that time, he will order a substantial airstrike campaign targeting vital infrastructure such as power stations and bridges. “After that, they’re going to have no bridges, they’re going to have no power plants — stone ages,” he stated during a press conference on Monday.
In a parallel development, Iranian authorities reportedly signaled their readiness to respond aggressively, vowing not to hold back from attacks on infrastructure across the Gulf. Following Trump’s ultimatum, Iranian officials stated they would only consider proposals for peace if a complete cessation of hostilities was guaranteed, alongside reparations for damages incurred during the conflict.
Incidents attributed to the escalating tensions included attacks by Iran on Saudi Arabia’s Jubail petrochemical plant, a critical site in the region. On the other side, reports emerged of US and Israeli strikes hitting various targets within Iran, including bridges, roads, an airport, and more, as confirmed by Iranian media outlets.
During the press conference, when asked about the status of ongoing negotiations with Iran, Trump remarked, “I can’t talk about ceasefire, but I can tell you we have an active willing participant on the other side,” further complicating the fragile situation.
With the deadline fast approaching and both sides entrenched in their positions, the international community watches closely, aware that the outcome could have profound implications for the region and global oil markets.
