Oil prices surge! Trump: Will "slightly" release US Strategic Petroleum Reserve Iran proposes three essential conditions to end the war

On March 11, local time, the three major U.S. stock indexes ended mixed, with the Dow down 0.61% and most chip stocks rising. The market continued to watch developments in Iran’s situation and the trend of oil prices, with international oil prices rising significantly.

According to a report from Xinhua News Agency, U.S. President Trump said in a media interview on the 11th that he would release U.S. strategic petroleum reserves to address the oil-price increase triggered by U.S. and Israeli airstrikes on Iran.

The U.S. Central Command said on the 11th local time that Iran is using civilian ports along the Strait of Hormuz for military purposes, threatening to take action against those ports. Iran’s military responded that if so, all ports in the region would become “lawful targets” for Iran.

Also, according to a report from CCTV News, late on the evening of March 11, Iranian President Pezeshkian posted on his social platform that during his calls with leaders of Russia and Pakistan, he reiterated Iran’s commitment to maintaining peace in the region.

Pezeshkian said that the “only way” to end the current war instigated by the United States and Israel is to recognize Iran’s lawful rights, pay war reparations, and provide the international community with firm assurances to prevent future acts of aggression.

Three Major U.S. Stock Indexes Close Mixed

On March 11, local time, the three major U.S. stock indexes closed mixed. By the close, the Dow fell 0.61% to 47,417.27, the S&P 500 declined 0.08% to 6,775.8, and the Nasdaq rose 0.08% to 22,716.13.

Large technology stocks traded mixed. The U.S. Technology “Magnificent Seven” index rose 0.27%. For individual stocks, Tesla rose more than 2%, Nvidia rose 0.66%, and Microsoft fell 0.22%. In addition, Oracle rose more than 9%.

Most China concept stocks fell. The Nasdaq China Golden Dragon Index fell 0.77%, and the China concept tech leaders index fell 2.14%. For individual stocks, Wansheng Xinsheng fell more than 10%, iQIYI fell more than 4%, and Li Auto rose nearly 3%.

Energy stocks rose across the board. Exxon Mobil rose more than 2%, Chevron rose nearly 3%, and Occidental Petroleum rose more than 4%.

Most chip stocks rose. The Philadelphia Semiconductor Index rose 0.63%. Micron Technology rose more than 3%, Intel rose more than 2%, and TSMC rose more than 2%.

International oil prices rose significantly on March 11. According to Xinhua News Agency, as of the close that day, light sweet crude oil futures for April delivery on the New York Mercantile Exchange rose by $3.80 to $87.25 per barrel, up 4.55%; and Brent crude oil futures for May delivery rose by $4.18 to $91.98 per barrel, up 4.76%.

According to Xinhua News Agency, U.S. President Trump said in a media interview on the 11th that he would release U.S. strategic petroleum reserves to address the oil-price increase triggered by U.S. and Israeli airstrikes on Iran.

Trump said that he would “slightly” reduce strategic petroleum reserves now to lower oil prices, and he would replenish strategic petroleum stocks again.

Data released by the American Automobile Association that day showed that the nationwide average regular gasoline price continued to rise, reaching the highest level in more than 20 months. On that day, the national average regular gasoline price was $3.578 per gallon, with a cumulative increase of about 20% compared with February 26.

In addition, on the 11th, the Dutch government announced that in response to an arrangement by the International Energy Agency, it would release about 5.36 million barrels of strategic petroleum reserves—about 20% of the country’s strategic oil reserves—to curb the rise in international oil prices. On the same day, the energy departments of Latvia, Estonia, and Lithuania issued a joint statement saying that the three countries were ready to use their oil reserves.

Earlier that day, the International Energy Agency announced that its 32 member countries unanimously agreed to release 400 million barrels of strategic petroleum reserves to address the situation of global oil supply tightness caused by U.S. and Israeli military strikes on Iran. The United States, the Netherlands, Latvia, Estonia, and Lithuania are all members of the International Energy Agency.

U.S. Military Threatens to Attack Iran’s Civilian Ports in the Strait of Hormuz

Iran Responds

According to Xinhua News Agency, the U.S. Central Command said on the 11th that Iran is using civilian ports along the Strait of Hormuz for military purposes and is threatening to take action against those ports. Iran’s military responded that if so, all ports in the region would become “lawful targets” for Iran.

The U.S. Central Command posted on social media that Iran’s navy has deployed warships and equipment inside civilian ports, and is using civilian ports “to conduct military actions that threaten international shipping.” If civilian ports are used for military purposes, they will “lose protection” and “become lawful military targets,” and Iranian civilians should avoid entering these ports.

A spokesperson for Iran’s armed forces, Abolfazl Shekharsi, later told Iran’s national television that if Iran’s ports and docks are threatened, all ports and docks in the region would become “lawful targets” for Iran.

On October 10, U.S. President Trump posted several times on social media, threatening that Iran must not lay naval mines in the Strait of Hormuz. The U.S. Central Command said that on that day U.S. forces destroyed multiple Iranian naval vessels near the Strait of Hormuz, including 16 mine-laying vessels.

According to Iran’s Tasnim News Agency report on the 11th, a statement issued by the Islamic Revolutionary Guard Corps said that the Strait of Hormuz is under the Islamic Revolutionary Guard Corps Navy’s strict control, and that “U.S. aggressors and their allies have no right of passage.”

Macron Says the G7

Coordinate to Restore the Strait of Hormuz’s Smooth Flow

According to Xinhua News Agency, French President Macron said on the 11th that amid current heightened tensions in the Middle East, G7 member countries should coordinate their actions to ensure the Strait of Hormuz can restore navigational smoothness as soon as possible.

The G7 held an online summit that day regarding the economic impact of the situation in Iran. As the leader of the rotating chair country, Macron made the above remarks at the opening of the meeting.

French media, citing Macron’s comments, reported that based on intelligence held by the French side or its partners, he could not confirm that Iran has laid mines in the Strait of Hormuz.

Macron also mentioned that the 32 member countries of the International Energy Agency had earlier agreed unanimously to release 400 million barrels of strategic petroleum reserves, “with the G7 accounting for 70%.” He also said he hopes that G7 members will call on relevant countries not to impose restrictions on exports of oil and natural gas.

After the summit, Macron said that G7 members believe that the current tightness in global oil supply does not constitute a reason to lift sanctions on Russia.

The Strait of Hormuz is a global energy transportation chokepoint, carrying about one-fourth of the world’s seaborne oil transport as well as large volumes of liquefied natural gas and fertilizer shipments. On February 28, the United States and Israel launched large-scale military action against Iran; Iran launched a counterattack, causing the risk to shipping through the Strait of Hormuz to surge. As a result, major oil-producing countries were forced to cut production.