Late Wednesday, U.S. stock futures slid while energy prices jumped sharply after escalating rhetoric from Donald Trump heightened fears of a broader conflict with Iran.
Stock Futures Drop As Geopolitical Tensions Rise
Following Trump’s address to the nation, Dow futures fell 421 points, or 0.90%, to 46,385.00.
S&P 500 futures declined 68.25 points, or 1.03%, to 6,549.50, while Nasdaq 100 futures dropped 304.50 points, or 1.26%, to 23,890.25 as of 10:25 p.m. EDT.
In commodities, WTI crude futures climbed 4.29% to $104.42 per barrel, while Brent crude rose 4.97% to $106.19 per barrel.
RBOB gasoline futures gained 4.25% to $3.2229 per gallon and ULSD heating oil futures advanced 6.71% to $4.329 per gallon.
Natural gas futures rose 1.63% to $2.865 per MMBtu.
Meanwhile, the U.S. dollar index was at 99.847, up 0.30%.
Asian markets were sharply lower, with Japan’s Nikkei 225 falling 1.53% to 52,917.64, while South Korea’s KOSPI tumbled 3.52% to 5,285.97.
Trump Signals Possible Military Action Against Iran
During his national address on Wednesday, Trump said, “We’re going to hit them extremely hard over the next two to three weeks,” adding, “We’re going to bring them back to the stone ages where they belong.”
He added that if negotiations fail, the U.S. could target Iran’s power grid and possibly its oil infrastructure.
“We have not hit their oil, even though that’s the easiest target of all, because it would not give them even a small chance of survival or rebuilding. But we could hit it and it would be gone,” he stated.
Despite the aggressive tone, Trump noted that diplomatic talks are ongoing.
Trump Touts US Dominance Amid Rising Prices
During his address, Trump also highlighted his confidence in the U.S. economy. He attempted to ease concerns about rising fuel prices amid the ongoing conflict.
The president argued that strong domestic production — driven by his “drill baby, drill” approach — ensures an ample energy supply, adding that the U.S. produces more oil and gas than Saudi Arabia and Russia combined.
The U.S. remained the world’s top oil producer in 2025, with output exceeding 13 million barrels per day, while Russia and Saudi Arabia ranked second and third, each producing more than 9.5 million barrels daily, according to data from the U.S. Energy Information Administration, as cited by the Associated Press.
Conflicting Signals Add To Market Uncertainty
Earlier in the day, Trump took to Truth Social and said, “Iran’s New Regime President, much less Radicalized and far more intelligent than his predecessors, has just asked the United States of America for a CEASEFIRE.”
However, Iranian officials have pushed back on assertions that a ceasefire has been requested, Al Jazeera reported.
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
Image via Shutterstock/ noamgalai
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