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President Trump Vows Reprisal Against Iran Following Missile Attacks That Sent Oil Prices Soaring

President Trump responded to an overnight missile attack by Iran on Wednesday, vowing to hit the country hard in retaliation. The administration announced a heavy wave of strikes against Iranian targets, including military command centers and drone facilities, to counter the attempted surprise attack on U.S. forces in the Middle East. This escalation in fighting has caused global oil prices to surge, with the benchmark index crossing above $90 a barrel. The stock market reacted negatively to the news, with the Dow Jones Industrial Average dropping 2.1% on its worst day since April 2025. Additionally, the Federal Reserve, led by Fed Chair Kevin Warsh, held interest rates steady while committing to addressing elevated inflation caused by energy supply shocks. While oil prices saw a brief decline on Thursday, the resumption of large-scale fighting has disrupted shipping through the Strait of Hormuz and contributed to a rise in overall inflation.

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