Strait of Hormuz Reportedly Closed as Iran-US Conflict Escalates; Trump Extends Deadline to April 6
Hormuz Strait Closure and US-Iran Deadline Extension
The geopolitical crisis in the Persian Gulf has intensified dramatically as Iran reportedly closed the Strait of Hormuz and turned away three container ships, according to multiple reports. Meanwhile, US President Donald Trump extended the deadline for potential strikes on Iranian energy facilities by 10 days to April 6.
Market Impact
The conflict has sent shockwaves through global financial markets:
- Oil prices: Brent crude surged over 2% on renewed supply disruption fears
- US Treasuries: 30-year yields hit highest levels since September 2025 as reflation expectations weighed on bond markets
- US equities: Major indices fell, with semiconductor and cybersecurity stocks leading declines
- Safe havens: Gold remained elevated as Turkey's central bank sold billion worth of gold reserves during the crisis
Trump's Shifting Stance
Trump stated he was "not in a rush" to reach a deal with Iran, despite describing negotiations as "very smooth." The 10-day extension came just 11 minutes after US market close, contributing to what has been called the worst trading day since the Iran war began.
Energy Market Disruption
The Strait of Hormuz handles approximately 20% of global oil transit. Its closure, even temporarily, would severely disrupt energy supplies to Asia and Europe. Iran has reportedly allowed 10 oil tankers to pass through, suggesting some selective access remains.
Turkey's Gold Sell-Off
In a significant market signal, Turkey's central bank sold approximately billion in gold reserves during the Iran conflict period, marking a major shift from its traditional role as one of the world's largest gold buyers.