Oil Prices Climb Amid Trump's Reaffirmed Deadline for Iran Infrastructure Attacks

Oil prices edged higher after U.S. President Donald Trump reaffirmed his threats to attack Iran's civil infrastructure, warning of severe consequences if the Strait of Hormuz remains closed. West Texas Intermediate crude futures for May rose 0.93% to $113.46 per barrel, while Brent crude for June delivery gained 0.54% to $110.36 per barrel. Trump emphasized that the U.S. would target Iran's power plants and bridges if the country did not reopen the critical waterway by 8 p.m. ET on Tuesday. The Strait of Hormuz, a vital energy artery, has seen reduced traffic since the conflict began on Feb. 28, contributing to a supply shock and rising energy prices. The closure of the Strait of Hormuz has disrupted global oil flows, with only 8 tankers transiting the strait on Monday, up from an average of fewer than 2 transits per day in March. Pre-war levels saw an average of 20 million barrels of crude oil and products passing through the strait daily in 2025. Trump indicated that Iran is negotiating in good faith, though a ceasefire deal before the deadline remains uncertain. Iran has rejected U.S. proposals, offering its own 10-point plan that includes a permanent end to hostilities and the lifting of sanctions. Market analysts suggest that Trump's deadline aims to apply additional pressure on Iran to reach a resolution. Brain Jacobsen, chief economic strategist at Annex Wealth Management, noted that the timing is intended to push Iran toward a compromise. Despite the slight increase in shipping activity, the volume remains far below pre-conflict levels. The ongoing tensions continue to weigh on energy markets, with investors closely monitoring developments in the region for further volatility.