Oil prices fell sharply on Friday as markets reacted to U.S. President Donald Trump’s announcement that he would take up to two weeks to decide whether to join Israel in military strikes against Iran. This move came amid escalating conflict between Israel and Iran, which has seen deadly exchanges since Israel’s initial airstrikes last Friday.
Trump’s statement, delivered through White House Press Secretary Karoline Leavitt, emphasized a willingness to pursue diplomacy before committing to military action. “Based on the fact that there’s a substantial chance of negotiations that may or may not take place with Iran in the near future, I will make my decision whether or not to go within the next two weeks,” Leavitt read.
Leavitt further clarified, “If there’s a chance for diplomacy, the president’s always going to grab it, but he’s not afraid to use strength as well.” This balanced approach signals a cautious U.S. stance amid fears the conflict could escalate into a broader war.
Since the conflict began, Iran and Israel have exchanged missile strikes and threats, though observers note no critical escalation yet. European foreign ministers were scheduled to meet with their Iranian counterpart in Geneva, underscoring ongoing diplomatic efforts.
Markets remained volatile, with crude oil prices down about two percent amid uncertainty. Stephen Innes of SPI Asset Management described the situation as a “geopolitical powder keg with a lit fuse,” warning that “President Trump’s two-week ‘thinking window’… is no cooling-off period — it’s a ticking volatility clock.”
Meanwhile, stock markets showed mixed results globally, with gains in Seoul and declines in Tokyo, where inflation concerns added pressure. The ongoing Middle East crisis and looming U.S. trade tariff deadlines continue to weigh heavily on investor sentiment.
At 0715 GMT, Brent crude was down 2.6 percent at $76.85 per barrel, while West Texas Intermediate fell 1.9 percent to $73.62 per barrel. Currency markets saw the euro and pound strengthen slightly against the dollar.
Trump’s decision will be closely watched as it could determine whether the U.S. escalates its involvement in the Middle East conflict or pursues a diplomatic resolution to the nuclear tensions with Iran.
