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Market Impact: 0.75

Crude oil dropping after historic $11 surge, as negotiators race against Trump's deadline for Iran

Geopolitics & WarEnergy Markets & PricesCommodities & Raw MaterialsTrade Policy & Supply ChainSanctions & Export Controls

President Donald Trump threatened to knock out Iran's power plants if Iran does not reopen the Strait of Hormuz by Tuesday, and oil prices fell on Monday in response. The escalation raises geopolitical risk to a critical oil transit chokepoint, increasing volatility and downside pressure on energy and commodity markets and creating potential disruptions to shipping and supply chains.

Analysis

President Donald Trump threatened to knock out Iran's power plants if Iran does not reopen the Strait of Hormuz by Tuesday, and oil prices fell on Monday in response. The escalation raises geopolitical risk to a critical oil transit chokepoint, increasing volatility and downside pressure on energy and commodity markets and creating potential disruptions to shipping and supply chains.

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