Markets React to Trump’s Tehran Evacuation Warning

Oil prices surged by up to 2% after U.S. President Donald Trump called for the evacuation of Tehran, escalating tensions between Israel and Iran and raising fears of disruptions to global energy supplies, particularly through the vital Strait of Hormuz. Analysts note that, despite the risks, oil markets remain well-supplied at present. U.S. and European stock futures fell amid the geopolitical uncertainty, while Wall Street had previously closed higher on hopes for de-escalation, including reports that Iran may seek a ceasefire if the U.S. stays out of Israeli attacks. Safe-haven assets like gold rose, and the dollar strengthened as investors turned to lower-risk options. Some equity markets showed resilience despite the volatility. The situation remains fluid, with further market moves expected as geopolitical events and U.S. Federal Reserve decisions unfold.