Oil jumps above $116 as Trump's Strait of Hormuz deadline approaches

Iran warOil jumps above $116 as Trump's Strait of Hormuz deadline approachesStocks also dropped at the opening bell, with the S&P 500 falling 0.5%.Listen to this article with a free account00:0000:00The Stena Impero being seized and detained in 2019 in Bandar Abbas, Iran along the Strait of Hormuz.Getty Images fileShareAdd NBC News to GoogleApril 7, 2026, 9:41 AM EDTBy Steve KopackOil prices jumped and stocks tumbled Tuesday morning, as the U.S. launched fresh strikes on Iran's Kharg Island and as President Donald Trump's 8 p.m. ET deadline to reopen the Strait of Hormuz approached without a clear resolution.Subscribe to read this story ad-free Get unlimited access to ad-free articles and exclusive content.The price of U.S. crude oil jumped more than 4% to $116 per barrel. International Brent crude oil rose to nearly $111 per barrel.Stocks meanwhile, dropped at the opening bell. The S&P 500 fell 0.4% and the Nasdaq Composite dropped 0.6%. The Dow fell 275 points or 0.5% and the Russell 2000 index, which tracks smaller companies, fell 0.4%.The declines came after relatively muted overnight trading. On Tuesday morning, a U.S. official confirmed new strikes on Iran's Kharg Island, from which Iran exports about 90% of its crude oil.The U.S. previously struck the island on March 13. At the time, Trump wrote on social media that, "every MILITARY target in Iran’s crown jewel, Kharg Island" had been "totally obliterated." Tuesday's strikes were focused on military facilities and did not impact energy infrastructure on the island, an official told NBC News. “Oil prices remain the key driver as investors grapple with a broadening supply shock, as well as occasional hopes for de-escalation of the Middle East conflict and an easing of supply chain disruptions,” BlackRock analysts said on Monday. Gas prices topping $6 a gallon on Sunset Boulevard in Los Angeles on Monday.Frederic J. Brown / AFP - Getty ImagesAt the same time, Trump continued to ramp up his threats again...