Oil prices jump as Trump unveils 'most crushing' economic pressure on Iran

International oil prices climbed more than two percent on Thursday after U.S. President Donald Trump announced what he called "the most crushing economic operation ever taken against any country" targeting Iran.

Brent crude, the global benchmark, rose 2.4 percent to nearly $94 a barrel in morning trading — its highest level since late July. U.S. benchmark West Texas Intermediate (WTI) futures gained 2.5 percent, reaching $86 a barrel.

In a post on Truth Social, Trump described the move as "Economic Warfare and Isolation on an unprecedented scale," accusing Tehran of failing to seize an opportunity for a deal. He warned that any nation allowing its financial institutions, businesses, airports, or government entities to provide support to Iran would face "TREMENDOUS Economic Consequences."

Trump called for an immediate halt to all financial and commercial conduits with Iran, framing the initiative as "an ECONOMIC D-DAY" and urging allies to join Washington in isolating what he termed "the Iran threat."

The Strait of Hormuz — a critical chokepoint for global oil shipments — remains largely closed, even as some crude continues to move through alternative routes. The disruption is keeping energy prices elevated and adding to inflationary pressures worldwide.

Fresh data from the U.K. and the eurozone, released Wednesday, showed July consumer price inflation at 2.9 percent year-on-year in both regions, partly driven by higher energy costs.