Oil Prices Rocket Over 6% To Two Week High As Trump Declares Iran Ceasefire "Over"

Global oil markets snapped violently awake on Wednesday after President Donald Trump delivered the kind of one liner that sends traders sprinting for their screens, declaring the fragile ceasefire with Iran finished, done, over. West Texas Intermediate surged as much as 6.5 percent to nearly $75 a barrel , while Brent crude , the global benchmark, jumped roughly 5.8 to 6.2 percent to touch almost $79 a barrel , marking its sharpest single day climb in weeks and pushing prices to their highest level in a fortnight.

Speaking on the sidelines of the NATO summit in Ankara, Turkey , alongside alliance chief Mark Rutte , Trump was blunt when asked whether the US Iran truce still held. "To me, I think it's over," he said, adding with characteristic dismissiveness, "I don't want to deal with them anymore… as far as I'm concerned, it's over." He did leave a narrow door open, noting that negotiators could continue talking, though he personally considers it "a waste of time."

The remark landed hours after the US military launched a series of powerful retaliatory strikes on Iran , responding to attacks on three commercial vessels transiting the Strait of Hormuz on Tuesday. US Central Command called Iran's actions "unwarranted, dangerous, and a clear violation of the ceasefire," while the Joint Maritime Information Center raised its threat level for the strait to "severe," warning further hostile action remained likely. Iran's foreign ministry hit back just as sharply, branding the American strikes a "gross violation" of last month's memorandum and vowing its armed forces "will not hesitate to defend Iran's territorial integrity."

Adding fuel to an already volatile picture, the US Treasury Department revoked the sanctions waiver that had allowed Iran to sell oil on global markets, a signal that Washington intends to squeeze Tehran economically even as both sides trade fire. Notably, the fresh escalation also coincides with Iran's ongoing state funeral ceremonies for Ayatollah Ali Khamenei , a detail analysts say complicates Tehran's incentive to fold quickly at the negotiating table.

Markets did not take the news quietly. Beyond crude, European equity indices tumbled , with the FTSE 100, DAX and CAC 40 all sliding more than 1.5 percent , while gold , typically a safe haven in moments like this, oddly slipped as well. Analysts described the mood shift starkly, with one market strategist noting that weeks of complacent pricing around a smooth de-escalation had been abruptly upended, forcing investors to reassess just how fragile the so-called peace really was.

Still, some caution against overreacting. Crude prices remain well below the panic highs seen earlier this year when the conflict first erupted, and analysts note that a genuine supply shock would likely require a far more aggressive move, such as a renewed US naval blockade of the Strait of Hormuz, before Brent pushes decisively past $80 a barrel . For now, Iran can likely still find buyers willing to sidestep dollar settlement restrictions, keeping today's spike a sharp warning shot rather than confirmation that the region is sliding back into full scale war.