President Donald Trump said Wednesday that the Iran war will end after the midterm elections in November, while investor Peter Schiff called it his “latest lie,” warning it will push oil prices and interest rates even higher.
Iran Wants to ‘Affect the Election‘
Trump made the comments to reporters while traveling to Dallas for the midterm Republican convention, saying the war would end “immediately after the elections.”
He added that Iran is “desperate to try and affect the election,” so voters elect “a nice, weak group of people” who would leave the regime alone and let it keep its nuclear ambitions.
Schiff called Trump’s comments the President’s “latest lie.”
“We now know that, at a minimum, there’s basically no chance that the war ends prior to the election either,” the investor added.
‘Trump’s Latest Lie’
Oil prices would start falling once the war ends, with gasoline dropping below $2 a gallon, Trump said, though it would “take a little bit longer than the midterms” for that to happen.
Schiff said the delay in a resolution with Iran would push oil prices and interest rates even higher.
Gasoline prices hit a record $4.15 a gallon over Labor Day weekend and have since climbed further to $4.22 a gallon Wednesday, according to AAA.
The Federal Reserve Chair Kevin Warsh is scheduled to announce the interest rate decision on Sept. 16, with markets currently pricing in a 60.2% probability of a hike versus 39.8% for a hold, according to the CME FedWatch tool.
Crude Crosses $100
Brent crude crossed $100 a barrel this week for the first time since July, as renewed Middle East fighting raised fears of further supply disruptions.
At the time of writing, Brent crude futures were at 101.62 a barrel, down 0.26%, and WTI crude futures climbed to $96.27 a barrel, higher by 0.23%.
Price Action: United States Brent Oil Fund (NYSE :BNO) closed 2.75% higher Wednesday at $59.32 and added another 0.64% after hours. ProShares Ultra Bloomberg Crude Oil (NYSE:UCO) rose 1.76% to close at $50.22. United States Oil Fund (NYSE:USO) gained 2.7% to $149.97 and climbed another 0.42% in extended trading.
Benzinga edge rankings indicate United States Oil Fund has a Momentum score in the 93rd percentile and positive price trends in the short, medium, and long term.
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Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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