The United States launched missiles against Iranian targets on Thursday, citing a drone strike that damaged a Singapore-flagged cargo ship in the Strait of Hormuz. U.S. Central Command said the attack was a direct response to the aggression, which threatened the flow of oil and commercial traffic through the narrow waterway. The move signals a rapid escalation after weeks of diplomatic restraint.

President Trump had warned that any breach of the 60-day ceasefire signed last week would reignite hostilities. The ceasefire, negotiated to preserve free trade through the strait, allowed both sides to avoid a broader conflict while sanctions pressures lingered. Investors watched the development closely, as renewed fighting could disrupt global shipping lanes and push Brent crude above $90 a barrel.

The strike underscores Washington’s willingness to use force to enforce the maritime agreement, raising concerns for insurers and carriers operating in the region. Shipping firms may reassess route premiums, while energy traders could see price spikes if the strait closes temporarily. Market participants now price a heightened risk premium into Middle East exposure. Analysts warn that any escalation could ripple through emerging market equities.