Early Morning Counterattack! Trump Officially Announces: Delaying Strike on Iranian Energy Facilities by Another 10 Days

(Source: Business Observation)

On March 26, Eastern Time, all three major U.S. stock indexes plummeted, with the Nasdaq dropping 2.38%, marking the largest single-day decline since the onset of conflict between the U.S. and Iran on February 28. Technology and chip stocks collectively “lay flat”; major European stock indexes also weakened in tandem, while international oil prices soared over 4%, casting a shadow of geopolitical conflict in the Middle East over global financial markets. Just as market panic reached its peak, Trump unexpectedly announced after-hours that strikes on Iranian energy facilities would be postponed by 10 days, leading to a rebound in U.S. stock index futures and precious metals during the Asia-Pacific early trading session, while oil prices quickly retreated. This market tremor, dominated by the U.S.-Iran standoff, is gripping global investors’ nerves.

I. U.S. stocks encounter “Black Thursday”: Technology stocks lead the decline, chip sector suffers heavy losses

The U.S. stock market on March 26 can aptly be described as “tense and anxious.” After the opening, all three major indexes fell sharply; by the end of trading, the Dow Jones Industrial Average fell 1.01%, the S&P 500 dropped 1.74%, and the Nasdaq Composite plunged 2.38%, directly breaching key support levels, with an overall decline of over 10% from historic highs, officially entering a correction phase.

Leading the decline were previously high-flying large technology stocks, with Meta crashing nearly 8%, marking the largest single-day drop in nearly five months; TSMC ADR fell over 6%, Nvidia dropped over 4%, and Google A and Tesla both fell over 3%. Microsoft and Amazon also saw declines of over 1%, with only Apple slightly rising by 0.11% to barely close in the green. The semiconductor sector became a disaster area, with the Philadelphia Semiconductor Index plummeting over 4%, and memory chip stocks collapsing: SanDisk fell over 11%, Seagate and Western Digital both dropped over 7%, Micron Technology fell nearly 7%, and Intel and AMD also saw declines exceeding 6%.

The European market faced simultaneous pressure, with the Euro Stoxx 50 Index and the German DAX30 Index both falling over 1.5%, while the UK’s FTSE 100 Index and France’s CAC40 Index also closed lower across the board, leading to a “blanket sell-off” of global risk assets. The market’s fear index, VIX, surged significantly, as investor risk aversion intensified, with funds flooding into safe-haven assets such as government bonds and gold, causing U.S. Treasury yields to drop across the board, with the 10-year Treasury yield falling below 4.2%.

II. Geopolitical conflict as the “culprit”: U.S.-Iran standoff escalates, focus shifts to the Strait of Hormuz

The core catalyst for the sharp decline in U.S. stocks is the ongoing escalation of the U.S.-Iran conflict. Since the U.S. and Israel launched military strikes against Iran on February 28, the situation in the Middle East has remained turbulent, with shipping in the Strait of Hormuz nearly completely halted, severely testing the global energy supply chain.

On March 26, multiple negative news releases coincided: Iran officially responded to the U.S. “15-point ceasefire proposal” through intermediaries, presenting four tough conditions that must be met, including halting aggression, compensating for war losses, and promoting a ceasefire for resistance organizations, casting a shadow over the negotiation prospects. Meanwhile, reports emerged that the U.S. Department of Defense is devising a “final strike” military plan against Iran, including extreme options such as ground troop invasions, large-scale airstrikes, blockading Iran’s oil export hub at Khark Island, and seizing strategic islands in the Strait of Hormuz, sharply increasing the risk of war escalation.

Israel has also been ramping up military actions, with its air force conducting multiple rounds of airstrikes against Iran, deploying 60 aircraft to drop over 150 bombs on military targets around Tehran and in central Iran, destroying several weapons manufacturing bases and air defense system facilities, further intensifying regional tensions. The Iranian side has firmly stated that the military has mobilized over one million combat personnel, vowing that if the U.S. forcibly opens the Strait of Hormuz, they will continue to blockade the strait and be prepared for ground operations, with many young Iranians voluntarily enlisting, creating an increasingly warlike atmosphere.

As the global “energy choke point,” the Strait of Hormuz accounts for approximately 20% of the world’s oil transportation volume, and its continued blockade directly drives up international oil prices. On March 26, WTI crude oil futures soared by 3.84%, closing at $93.79 per barrel, while Brent crude oil futures briefly surpassed $100 per barrel, rising over 5%. The surge in oil prices has raised market concerns about a rebound in inflation, cooling expectations for Federal Reserve interest rate cuts, and the high-interest-rate environment continues to suppress stock valuations, especially for interest-sensitive technology and growth stocks, which have become the main targets for fund sell-offs.

III. Trump’s “emergency brake”: Postponing strikes by 10 days, market sentiment briefly warms

Just 11 minutes after the U.S. stock market closed, Trump suddenly posted on social media “Truth Social,” announcing that “at the request of the Iranian government, the strikes against Iranian energy facilities will be postponed another 10 days, until 8 PM Eastern Time on April 6, 2026,” emphasizing that “negotiations are ongoing and progressing very well.”

This news instantly reversed market sentiment. In the early Asian trading session on March 27, all three major U.S. stock index futures rebounded over 0.3%, with S&P 500 futures and Nasdaq futures sharply rising; international precious metals also climbed, with spot gold rising 0.51% to $4,400.09 per ounce, and spot silver rising to $69 per ounce, up 1.56% for the day. The previously surging international oil prices quickly retreated, with WTI crude falling 1.00% to $93.531 per barrel, and Brent crude dropping over 1%, temporarily alleviating market fears of war escalation.

In fact, this is not Trump’s first time “postponing strikes.” On March 23, he had announced a 5-day delay in the strikes on Iranian energy facilities, during which the market similarly experienced a “U.S. stock rebound, oil price plunge” scenario. Market analysts believe that Trump’s actions are, on one hand, intended to buy time for diplomatic negotiations to prevent the conflict from spiraling further out of control; on the other hand, it is also under market pressure—previous war threats had already caused significant volatility in U.S. stocks and soaring oil prices; if military actions continue to escalate, it could trigger a domestic economic and inflation crisis in the U.S., impacting his political support.

IV. Where does the market go from here: Short-term focus on negotiations, long-term on inflation and economy

Although Trump’s “postponement of strikes” has temporarily stabilized the market, it has not fundamentally resolved the core contradictions of the U.S.-Iran conflict. In the next 10 days, the progress of negotiations will become a key variable affecting the market: if both sides can reach a consensus on core issues such as navigation in the Strait of Hormuz and ceasefire conditions, market risk appetite is expected to continue to recover, with U.S. stocks, oil prices, and gold prices gradually returning to rational levels; if negotiations break down and the U.S. resumes strikes on Iranian energy facilities, or even launches ground wars, the global market may face a more severe shock.

In the long term, the impact of Middle Eastern conflicts on the global economy cannot be ignored. The OECD has issued warnings that if the energy crisis persists, global economic growth will face significant setbacks, and inflation will rise again. Institutions like Goldman Sachs and Moody’s have raised their expectations for a U.S. recession, believing that the uncertainty of the Middle Eastern situation is the biggest test for current global economic resilience. For U.S. stocks, the combination of a high-interest-rate environment and the risk of inflation rebounding presents a challenging path for the recovery of technology stock valuations, and the market is likely to maintain a volatile pattern until there is a clear signal of easing geopolitical tensions.

For investors, the current market is in a highly sensitive “news-driven” phase, where any news regarding U.S.-Iran negotiations or military actions could trigger significant market fluctuations. In the short term, close attention should be paid to the strike deadline on April 6, navigation conditions in the Strait of Hormuz, and Iran’s responses; in the medium to long term, tracking oil price trends, inflation data, and Federal Reserve policy direction is essential for reasonable asset allocation and controlling risk exposure.

This market storm, driven by geopolitics, is far from over. Trump’s “10-day buffer period” is both a window for negotiations and a period for market observation. Global investors are all waiting for an answer: Can the U.S.-Iran conflict be resolved peacefully? Can the global financial market emerge from the shadow of panic? All will gradually be revealed in the next 10 days.

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