Late Thursday, the U.S. stock futures edged lower as oil prices surged above $98 per barrel. This comes amid rising geopolitical tensions tied to the Strait of Hormuz and renewed diplomatic activity involving Israel and Lebanon.
Markets Dip As Oil Prices Jump On Supply Concerns
Dow futures fell 40.00 points, or 0.08%, to 48,376.00, while S&P 500 futures declined 3.50 points, or 0.05%, to 6,859.75 and Nasdaq 100 futures slipped 5.25 points, or 0.02% as of 8:42 p.m. EDT.
In commodities, WTI crude rose 0.65% to $98.51 per barrel, while Brent crude gained 0.83% to $96.72 per barrel.
RBOB gasoline futures climbed 0.88% to $3.0272 per gallon and ULSD heating oil futures advanced 0.95% to $3.9745 per gallon.
Natural gas futures edged up 0.22% to $2.676 per MMBtu.
Meanwhile, the U.S. dollar index was at 98.918, up 0.12%.
Asian markets were higher, with Japan’s Nikkei 225 rising 1.61% to 56,795.34, while South Korea’s KOSPI advanced 1.69% to 5,875.66.
Trump Warns Iran Over Strait of Hormuz Tensions
President Donald Trump has accused Iran of failing to uphold ceasefire-related expectations tied to oil transit through the Strait of Hormuz.
“Iran is doing a very poor job, dishonorable some would say, of allowing Oil to go through the Strait of Hormuz,” Trump said on Truth Social. “That is not the agreement we have.”
Trump Warns Iran Against Oil Transit Fees
In a separate post, he also warned against any attempts to impose fees on shipping traffic, stating, “They better not be and, if they are, they better stop now!”
The Strait of Hormuz remains a critical chokepoint for global energy shipments, with any disruption historically triggering volatility in oil markets.
Previously, reports suggested Iranian officials may allow limited vessel traffic under stricter conditions, including potential fees per barrel of oil transported.
Israel Confirms Potential Talks With Lebanon
Separately, Israeli Prime Minister Benjamin Netanyahu said Israel is preparing for possible direct talks with Lebanon.
The discussions are expected to focus on security arrangements and the potential disarmament of Hezbollah, the Iran-backed group operating in southern Lebanon.
The U.S. and Israel maintain that the latest ceasefire agreement does not extend to Lebanon. However, Iran and Pakistan — which served as a mediator — contend that Lebanon was explicitly included in the agreement.
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
Photo: Below the Sky via Shutterstock
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