Trump warns Iran: 'whole civilization will die tonight' — Hormuz

U.S. President Donald Trump warned that "a whole civilization will die tonight" unless Iran agreed to a deal that includes reopening the Strait of Hormuz, setting a hard deadline and signaling possible strikes on Iranian infrastructure if demands are not met.

The situation escalated as reported airstrikes struck bridges and a train station in Iran, and U.S. forces were reported to have targeted military and energy infrastructure including facilities on Kharg Island, a key Iranian oil export hub. Washington indicated it might offer targeted sanctions relief — particularly on Iran's oil sector — as part of an agreement to stabilize markets, but demanded concrete steps in return.

Markets reacted quickly: the near-shutdown of traffic through the Strait produced a historic supply shock, lifting Brent crude above $110 a barrel and pushing U.S. crude futures higher, while equity markets experienced selling pressure amid a spike in energy-sector volatility. The interruption to roughly 15–20% of seaborne global oil flows has amplified risk premia in commodity prices.

The episode underlines the Strait of Hormuz's outsized role in global energy security; with large volumes of crude and LNG transiting the narrow waterway, any prolonged disruption forces buyers to seek alternative supplies, reroute shipments and draw strategic reserves. European officials have begun discussing emergency measures, including potential profit caps on energy companies to shield consumers from the sharp price rise, while supply-chain resilience has moved to the top of policy agendas.

Market strategists say volatility is likely to persist and that a sustained closure could push benchmark prices materially higher, prompting further upward revisions to 2026 forecasts by major banks. Institutions such as Goldman Sachs (investment bank) have already adjusted outlooks to reflect a higher-for-longer oil-price scenario; traders and policymakers will watch for diplomatic breakthroughs, coordinated reserve releases and any change in the flow through Hormuz as the principal drivers of near-term market direction.