Oil & Energy
Trump Moves to Block Hormuz Shipping, Threatens Iranian Vessels Near US Forces
US President Donald Trump said Monday the US Navy has begun enforcing a blockade on the Strait of Hormuz, warning Iranian vessels risk immediate elimination if they approach, in a Truth Social post."Warning: If any of these ships come anywhere close to our blockade, they will be immediately eliminated," adding the response would be "quick and brutal," he posted on Monday.Trump said Iran's naval fleet has been "completely obliterated," with about 158 ships, "laying at the bottom of the sea," while noting that only a small number of fast attack ships remain.His warning was targeted at remaining vessels approaching US positions.Trump added that enforcement tactics mirror anti-drug operations, stating the US uses "the same system of kill that we use against the drug dealers on boats at Sea," while claiming "98.2% of Drugs coming into the US by ocean or sea have stopped."The comments follow US-Iran talks held over the weekend in Islamabad that failed to yield progress, with both sides unable to resolve key disputes.After the breakdown, Trump said Sunday that Iran must act quickly, warning, "they better begin the process of getting this international waterway open and fast."He added that the US Navy would enforce the move, saying "effective immediately, the United States Navy... will begin the process of blockading any and all ships."Israeli Prime Minister Benjamin Netanyahu has reportedly warned that a ceasefire may end soon and backed Trump's blockade plan, according to multiple media outlets.In an interview with Fox News on Sunday, Trump said that oil and gasoline prices may remain high through November's midterm elections. "It could be, or the same, or maybe a little bit higher, but it should be around the same," Trump reportedly told Fox News.The US Central Command on Monday also issued directives stating that it will begin implementing the blockade of all maritime traffic entering and exiting Iranian ports at 10 ET on Monday."The blockade will be enforced impartially against vessels of all nations entering or departing Iranian ports and coastal areas, including all Iranian ports on the Arabian Gulf and Gulf of Oman," according to the statement.The Middle East Murban crude benchmark was down 4.80% in early trading to settle at $102.87 per barrel. In contrast, Brent was up 5.46% at 100.40/bbl, and WTI futures also tracked gains, up 5.27% at $101.66/bbl.