Late Tuesday, U.S. military strikes on Iran renewed fears of a wider Middle East conflict, sending oil prices higher and weighing on equity futures as investors monitored the security of the Strait of Hormuz, one of the world’s most critical energy shipping routes.
Oil Prices Rise As Markets Turn Cautious
Dow futures fell 66.00 points, or 0.12%, to 53,131.00, while S&P 500 futures edged up 0.25 points, or 0.00%, to 7,551.50 and Nasdaq 100 futures gained 60.00 points, or 0.20%, to 29,451.50 as of around 8:30 p.m. EDT.
In commodities, WTI crude oil rose 2.90% to $72.48 per barrel, while Brent crude climbed 2.67% to $76.14 per barrel. Natural gas futures advanced 0.46% to $3.28 per MMBtu.
Meanwhile, the U.S. dollar index, which tracks the greenback against a basket of currencies, stood at 101.117, little changed on the day.
Asian markets were lower, with South Korea’s KOSPI falling 1.98% to 7,504.47 and Japan’s Nikkei 225 declining 0.86% to 67,668.47.
US Launches Retaliatory Strikes On Iran
In a post on X, U.S. Central Command, or CENTCOM, said, “U.S. Central Command forces have begun launching a series of powerful strikes against Iran to impose heavy costs for targeting and attacking commercial shipping crewed by innocent civilians in an international waterway.”
CENTCOM added that the operation came in response to “Iranian attacks on three commercial vessels that were transiting the Strait of Hormuz,” calling Tehran’s actions “unwarranted, dangerous, and a clear violation of the ceasefire.”
Iran’s President Returns To Tehran
Meanwhile, Iranian President Masoud Pezeshkian cut short his visit to Iraq and returned to Tehran after attending the funeral of former Supreme Leader Ayatollah Ali Khamenei in Najaf, according to Iranian state media, CNN reported.
The return comes as President Donald Trump attends the NATO summit in Ankara, Turkey.
Retaliatory Strikes Threaten Ceasefire
The latest exchange follows last month’s military confrontation between Washington and Tehran.
Both sides have signed a memorandum of understanding aimed at halting hostilities, reopening the Strait of Hormuz and continuing negotiations over Iran’s nuclear program.
The renewed strikes now threaten that fragile agreement.
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
Photo Courtesy: QQMinh88 on Shutterstock.com
