Geopolitical Tensions Drive Market Volatility as Oil Prices Surge
Global markets reeled as the S&P 500 and Nasdaq 100 both closed down over 1% following Iran''s retaliatory strike against Israel. The CBOE Volatility Index (VIX) spiked 19.7%, reflecting heightened investor anxiety. Former President TRUMP controversially suggested the confrontation could ultimately benefit markets by preventing nuclear proliferation.
Crude oil futures surged 7% amid concerns over potential disruptions to the Strait of Hormuz, a critical chokepoint for 20% of global oil shipments. The Trump campaign proposed record biofuel blending targets for 2026 as an alternative to fossil fuels, though analysts question the immediate market impact.