Oil Prices Soar as Trump Demands 'Tit-for-Tat' Reparations from Iran
International oil prices surged as tensions between the U.S. and Iran reached an impasse over reopening the Strait of Hormuz, while Wall Street closed lower on July 10.
The Dow Jones Industrial Average fell 0.11% to close at 53,976.10, with the S&P 500 index slipping 0.06% to 7,753.15 and the Nasdaq Composite dropping 0.32% to finish at 26,605.36.
The sharp spike in oil prices was driven by a heated war of words between U.S. President Donald Trump and Iran, with West Texas Intermediate (WTI) crude trading up roughly 5% at $82.09 per barrel and Brent crude rising 4.9% to $87.62 per barrel.
Trump proposed 'tit-for-tat' reparations from Iran for past terrorist acts and the killing of protesters within Iran, adding upward pressure on oil prices as concerns spread in the market that Iran is unlikely to accept his demands.