Trump announces Iranian oil blockade as tensions rise, markets react

A new pressure point is emerging in the Middle East after failed peace talks with Iran over the weekend..

(NBC)- A new pressure point is emerging in the Middle East after failed peace talks with Iran over the weekend prompted Donald Trump to announce a sweeping oil blockade.

The blockade, which began at 10 a.m. Eastern, targets Iranian oil exports and will be enforced by U.S. Central Command across Iranian ports and coastal areas. Officials say the effort is designed to increase economic pressure on Iran, though it will not apply to ships traveling between non-Iranian ports.

“Other nations are working so that Iran will not be able to sell oil. And that will be very effective,” Trump said.

Iran’s armed forces responded with a warning, saying any warships approaching the Strait of Hormuz would be considered a violation of the current two-week ceasefire.

The U.S. hopes the move will force Iran back to negotiations and reopen the critical shipping route. However, global markets reacted quickly, with oil prices surging and stock futures falling following the announcement.

Trump acknowledged the potential impact on Americans, saying gas prices may not drop before the November midterm elections and could remain the same or even rise slightly.

Meanwhile, Vice President JD Vance led U.S. negotiations in Pakistan, which ultimately broke down over a key demand — that Iran commit to not pursuing nuclear weapons.

“We need to see an affirmative commitment that they will not seek a nuclear weapon,” Vance said, adding that the U.S. has not yet seen that assurance.

Trump also signaled he is not concerned about whether Iran returns to the negotiating table.

“I don’t care if they come back or not. If they don’t come back, I’m fine,” he said.

New intelligence reports suggest China may be preparing to supply Iran with additional air defense systems in the coming weeks. Trump warned that such a move would trigger a 50 percent tariff on China.

In a separate development, Trump also criticized Pope Leo, calling him “terrible” on foreign policy. The pope had previously condemned threats against Iran and urged global leaders to pursue peace.

The situation remains fluid as tensions continue to escalate.