Wall Street futures fell Monday after Donald Trump ordered a naval blockade of the Strait of Hormuz, following the collapse of US-Iran talks in Islamabad. Losses, however, narrowed as markets steadied.
Dow futures were down 480 points, or about 1.01%, after dropping as much as 580 points earlier. S&P 500 and Nasdaq-100 futures were also 0.5% at around 16:00 IST. At the same time, Gift Nifty was also trading 0.14% lower.
In a Truth Social post, Trump said the US Navy would begin blocking ships entering or leaving the strait from 10 a.m. ET, with support from other countries. The move came after Vice President JD Vance exited talks, citing Iran’s refusal to curb its nuclear programme. Iran, in turn, pushed for control of the strait, war reparations and access to frozen assets.
The escalation lifted oil prices. At 18:00 IST, Brent crude was up over 7% to around $102 per barrel, while West Texas Intermediate crossed $104 and remained up about 7%–8%.
Higher oil prices have revived concerns around inflation and global growth. Iran warned it would target Persian Gulf ports if its energy infrastructure is hit, calling the US move “an act of piracy.”
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It is pertinent to note that last week’s ceasefire had driven a strong rally, with the S&P 500 gaining 3.6%, the Nasdaq rising 4.7% and the Dow adding 3%. The truce appears to be holding for now, even as tensions persist.
On the domestic front, Indian benchmark indices ended lower but recovered sharply from intraday lows with Sensex and Nifty 50 closing 703 points and 208 points, respectively.
Read More: Late recovery caps losses as markets end weak; Nifty holds above 23,800
First Published: Apr 13, 2026 6:26 PM IST
