Oil prices jumped 10% Monday, the biggest single-day rise since 2020, signaling that markets do not expect a return to pre-war norms as conflict between the US and Iran reignited.
US President Donald Trump said he would re-impose a blockade and start charging tolls on the Strait of Hormuz, effectively ending a month-long ceasefire.
Trump has few good options, The New York Times reported: Neither warfare nor diplomacy has achieved his goals, and he is under political pressure to focus on domestic issues. In Tehran, anti-US nationalist fervor is strengthening hardliners and undermining mediators’ efforts to reach a deal.
“The chance of… going back to the old normal is effectively zero,” an analyst told The Wall Street Journal.