Trump Warns of Continued Iran Strikes, Stoking Market Uncertainty

Investors react to President's speech outlining plans for further military action against Iran over next 2-3 weeks.

Apr. 2, 2026 at 11:38am

Got story updates? Submit your updates here. ›

In a televised address, U.S. President Donald Trump told the nation that the military had nearly completed its goals in the war with Iran, but warned that the U.S. would continue to strike targets in the Islamic Republic over the next two to three weeks. Stocks fell, the dollar firmed, and oil prices rose in response to the speech, as investors expressed concerns over the prolonged uncertainty.

Why it matters

Trump's speech failed to provide a clear timeline for the end of the conflict with Iran, raising concerns among investors about the potential for further market volatility and economic disruption. The ongoing tensions in the Strait of Hormuz, a critical global oil chokepoint, remain a key variable impacting energy prices and broader economic stability.

The details

In his speech, Trump said the U.S. military had nearly completed its objectives in the war with Iran, but warned that the U.S. would continue to strike targets in the country over the next two to three weeks. He also threatened to target Iran's power infrastructure if no deal is reached. Investors reacted negatively, with stocks falling, the dollar strengthening, and oil prices rising as the speech failed to provide a clear path to resolving the conflict.

  • On Wednesday night, President Trump delivered a televised address to the nation.
  • Trump warned that the U.S. military would continue to strike targets in Iran over the next 2-3 weeks.

The players

Donald Trump

The 45th President of the United States, who ordered military strikes against Iran amid rising tensions in the region.

Russel Chesler

The Head of Investments and Capital Markets at VanEck Australia, who commented on the market reaction to Trump's speech.

Prashant Newnaha

The Senior Rates Strategist at TD Securities in Singapore, who analyzed the implications of Trump's remarks on the Strait of Hormuz.

Zhiwei Zhang

The Chief Economist at Pinpoint Asset Management in Hong Kong, who expressed concerns about the continued uncertainty following Trump's speech.

Mike Houlahan

The Director of Electus Financial Ltd in Auckland, who discussed the potential impact of the extended conflict on fuel supply chains.

Got photos? Submit your photos here. ›

What they’re saying

“The markets are certainly not interpreting the speech as positive. If he was trying to inspire confidence in the markets, he has not done that. The key question in all investors' minds is 'when is this going to be over?', that is what is creating the volatility.”

— Russel Chesler, Head of Investments and Capital Markets, VanEck Australia

“The only thing that really matters is whether the Strait of Hormuz will open soon. Trump's speech doesn't imply this is likely to happen as quickly as the markets were expecting. Threats that the U.S. will strike Iranian power plants if no deal is reached and that it will bring Iran back to the Stone Age points to further escalation.”

— Prashant Newnaha, Senior Rates Strategist, TD Securities

“The outlook is clearly still highly uncertain. The only certain message is that the war will continue at least two to three weeks, so there will be continued intensive bombing. The market didn't take it in a positive way as you can see that the oil price rebounded and the equity market futures declined. I think the hope for a very quick resolution is fading.”

— Zhiwei Zhang, Chief Economist, Pinpoint Asset Management

What’s next

Investors will closely monitor the situation in the Strait of Hormuz and any further developments in the conflict between the U.S. and Iran over the next two to three weeks, as the potential for continued military strikes and retaliation could have significant implications for global markets and the economy.

The takeaway

Trump's speech failed to provide the clarity and de-escalation that investors were hoping for, instead stoking further uncertainty about the duration and potential escalation of the conflict with Iran. This uncertainty is likely to continue weighing on financial markets and the broader economic outlook until a clear path to resolving the tensions emerges.