After stocks notched the first positive week since the U.S.-Israel war on Iran started over a month ago, Wall Street is weighing another round of threats and the latest deadline from President Donald Trump.
Futures tied to the Dow Jones industrial average fell 284 points, or 0.61%. S&P 500 futures were down 0.57%, and Nasdaq futures lost 0.56%.
The U.S. dollar was up 0.07% against the euro and up 0.16% against the yen. The yield on the 10-year Treasury was flat at 4.345%.
The conflict has entered its sixth week, reaching the end of Trump’s earlier timeline for the war to last four to six weeks.
But Tehran shows no signs of relinquishing its grip over the Strait of Hormuz, even as it allows a growing trickle of tankers through, while Trump appeared to be emboldened by a daring rescue of a U.S. airman shot down over Iran.
In a social media post on Sunday, he threatened to destroy Iran’s power plants and bridges if the strait isn’t open by Tuesday, then demanded, “Open the F—in’ Strait, you crazy bastards, or you’ll be living in Hell – JUST WATCH! Praise be to Allah.”
That appeared to push his deadline back from Monday, which was already delayed from an earlier deadline a week and a half ago.
“Make no mistake: You won’t gain anything through war crimes. The only real solution is respecting the rights of the Iranian people and ending this dangerous game.”
Meanwhile, more than 2,000 Marines are in the Middle East, with thousands more troops on the way—as well as a third aircraft carrier.
Trump could deploy them to seize Kharg Island, from which 90% of Iran’s oil is exported, or other small islands near the Strait of Hormuz to weaken Iran’s grip on the narrow waterway that’s critical to the global oil trade.
For now, it’s unclear if the successful rescue of the F-15 airman after a harrowing operation makes a future ground assault more or less likely.
