dow reacted to a sharp shift in sentiment after U. S. President Donald Trump used a Wednesday night ET address to say the United States will continue to hit Iran very hard and will “finish the job, ” sending oil sharply higher and Asian markets lower. Oil rose more than 4%—with Brent and U. S. benchmark crude jumping—while Tokyo’s Nikkei 225, South Korea’s Kospi and other Asian indices fell in early Asia trading on Thursday ET. The moves came as markets absorbed comments that offered no clear path to end the supply disruptions that have pushed energy prices up.
Dow and U. S. indexes showed mixed moves ahead of Asia selloff
Renewed optimism earlier in the week lifted major U. S. benchmarks before the speech: the S&P 500 added 0. 7% to 6, 575. 32, the Dow Jones Industrial Average rose 0. 5% to 46, 565. 74, and the Nasdaq composite climbed 1. 2% to 21, 840. 95. That sentiment shifted after the President’s remarks late Wednesday ET, which left markets without concrete details on ending hostilities or restoring unobstructed flows through key energy routes.
Energy price spikes were immediate. Brent crude jumped 4. 9% to $106. 16 per barrel, and benchmark U. S. crude rose 4% to $104. 15 a barrel. Gold and silver moved lower in the same session, with gold down 2% to $4, 718. 70 per ounce and silver off 4. 9% to $72. 39 an ounce. Currency markets also reacted: the U. S. dollar strengthened to 159. 37 Japanese yen from 158. 82 yen, and the euro weakened to $1. 1545 from $1. 1589.
Immediate reactions from leaders and strategists
President Donald Trump said in his address, “We are going to hit them extremely hard over the next two to three weeks. We’re going to bring them back to the Stone Ages, where they belong. ” He added that “core strategic objectives are nearing completion” and that military operations could wrap up soon. The blunt timeline and threat of attacks on energy infrastructure followed earlier warnings about the Strait of Hormuz and left investors searching for clarity.
Takashi Hiroki, chief strategist at Monex in Tokyo, said, “The market has shown disappointment because the speech President Trump made was far less than what the market expected. There were no concrete details about the end of the hostilities with Iran. ” He added, “What the market wants is a clear outline for the ceasefire. ” Those remarks captured investor frustration as oil moved sharply higher while equity sentiment cooled in Asia.
Quick context: what led here
Renewed optimism earlier in the week had pushed world stocks higher after a late comment that the U. S. military could end its offensive in two to three weeks. That optimism was partially reversed when the President’s Wednesday night ET address emphasized continued force and infrastructure targets without detailing how supply disruptions would be resolved.
What’s next for markets and the dow
Markets will watch for any further public guidance from U. S. officials or clear timelines that could outline a path to ceasefire or reopening of key shipping lanes; energy prices and Asian trading will likely be the near-term focus. Traders and policymakers are expected to track developments closely in the coming days as oil price trajectories and local market reactions determine whether the earlier gains in U. S. indices hold or give way to broader risk-off moves.
