Oil prices jumped and US equity futures fell after President Trump addressed the nation on Wednesday night, where he reiterated his argument that the US is close to completing its goals but said the war is not over yet.
Futures on Brent crude (BZ=F), the international benchmark, reversed from multi-percentage losses to a gain of roughly 4.8%, trading around $106 per barrel after dropping below $100 earlier in the session. Those on US benchmark West Texas Intermediate (WTI) crude (CL=F) reversed from earlier losses to gain roughly 4.2% and trade near $104.30
Futures on the S&P 500 (ES=F) traded down by roughly 1%, while those on the Dow Jones Industrial Average (YM=F) lost a slightly slimmer 0.9% on the session. Contracts on the Nasdaq 100 (NQ=F) lost roughly 1.1%.
Without laying out any truly new information, the president implied Wednesday night that the US would be escalating the conflict in an attempt to end it, noting that the US is sending Iran “back to the stone ages” in an attempt to cripple their ability to threaten global security.
While Trump was reported to have been considering pulling US military out of Iran within two to three weeks while leaving control over the Strait of Hormuz — the world’s most critical energy chokepoint — unsolved, the president did not take a strong stance on the issue Wednesday night.