President Donald Trump issued a sharp warning to energy producers after U.S. military strikes on Iran pushed oil prices higher, raising concerns about a potential broader conflict in the Middle East.
“EVERYONE, KEEP OIL PRICES DOWN. I’M WATCHING! YOU’RE PLAYING RIGHT INTO THE HANDS OF THE ENEMY. DON’T DO IT!” Trump wrote Monday on social media.
He followed up with a directive to the Energy Department, posting: “DRILL, BABY, DRILL!!! And I mean NOW!!!”
Energy Secretary Chris Wright replied on X, saying, “we’re on it.”
The situation escalated after Trump authorized strikes on Iran’s three main nuclear sites in coordination with Israel’s military. In response, Tehran warned of potential retaliation, including the possibility of closing the Strait of Hormuz—a strategic chokepoint at the mouth of the Persian Gulf through which about 25% of global seaborne oil passes.
Rising oil prices could deal a blow to U.S. consumers still grappling with years of inflation, potentially creating political fallout for Trump and his Republican allies ahead of the election.
A full shutdown of the strait could send crude prices soaring past $130 per barrel, according to Bloomberg Economics. White House Press Secretary Karoline Leavitt said Monday that the administration is “actively and closely monitoring this situation in the Strait of Hormuz and the Iranian regime would be foolish to make that decision.”
Despite early market jitters, oil prices began to retreat later in the day. Brent crude initially spiked to $81.40 per barrel but later fell below $77 as immediate fears of supply disruption eased.
However, Trump’s push for more U.S. drilling may not yield quick results. Many oil producers remain reluctant to significantly ramp up output, especially with West Texas Intermediate prices hovering near or below breakeven levels at some drilling sites.
Industry executives continue to base investment decisions on long-term price outlooks rather than short-term geopolitical shocks like the latest developments in Iran.
Pump Radar
Stock Alerts