President Trump’s pledge to bar all traffic through the Strait of Hormuz sent Brent crude up 7.2% to $102.7 a barrel and WTI to $104.2 a barrel in early European trade on Monday. The move followed a failed 21‑hour negotiation with Tehran, leaving a fifth of global oil and LNG flows in limbo.

RBC Capital Markets warned the deadlock could force China into the talks, amplifying geopolitical risk ahead of the summer driving season. Natural‑gas benchmarks also spiked, with the front‑month Dutch TTF climbing 8.5% to 47.35 euros per megawatt‑hour, underscoring broader energy market stress.

Analysts note that the Hormuz closure removes a toll‑free transit route, effectively tightening supply and pushing inventories lower. With no compromise on Washington’s demand for zero uranium enrichment, the standoff raises the prospect of prolonged disruptions that could reverberate through refinery margins and downstream pricing.

Investors are already adjusting exposure, as higher crude and gas prices translate into immediate revenue gains for producers while inflating input costs for airlines and petrochemicals. The latest price surge cements the Hormuz issue as a headline risk for the coming months.