Oil prices plunged 10% Tuesday after President Trump warned Iran would face devastating consequences if it blocks the Strait of Hormuz. Brent crude fell to $91 per barrel while U.S. crude dropped 8.1% to $87, reversing Monday's surge past $100. Trump's threat to hit Iran twenty times harder if oil flows are disrupted reflects growing concerns over this critical chokepoint, through which roughly 31% of global seaborne oil passes. Saudi Aramco's CEO warned the regional conflict threatens catastrophic consequences for energy markets and broader industries including aviation and agriculture. The volatile price swings underscore how geopolitical tensions directly impact global energy security and economic stability.
