Was Trump’s Big Iran Announcement Just a Ploy at Market Manipulation?
Source: The New Republic · Bias: Left
Summary
President Trump’s supposed five-day postponement of strikes on Iranian power plants may very well be a ploy to manipulate the markets in his favor amid skyrocketing oil prices.“I AM PLEASED TO REPORT THAT THE UNITED STATES OF AMERICA, AND THE COUNTRY OF IRAN, HAVE HAD, OVER THE LAST TWO DAYS, VERY GOOD AND PRODUCTIVE CONVERSATIONS REGARDING A COMPLETE AND TOTAL RESOLUTION OF OUR HOSTILITIES IN THE MIDDLE EAST,” Trump wrote Monday morning on Truth Social, adding that the U.S. would not strike Iranian power plants or energy infrastructure for the next five days.The announcement came just two hours before U.S. stock markets opened, and the supposed halt in strikes will end at the end of the energy sector trading week. The decision caused previously skyrocketing oil prices to dip significantly. However, an Iranian official told Fars News Agency that Iran’s government had “no direct contact with Trump, not even through intermediaries. Trump retreated after hearing that our targets would be all power plants in West Asia.” Iran’s Foreign Ministry also told the semiofficial Mehr News Agency that there are no talks between the two countries. This raises serious doubts as to whether the president is telling the truth or just saying whatever he can to stop gas prices from rising more and more as Iran locks down the Strait of Hormuz. The Kobeissi Letter detailed how Trump’s announcement sent shock waves through the stock market. “At 7:04 AM ET today, President Trump said ‘the US and Iran have had productive discussions’ to end the Iran War. By 7:10 AM ET, the S&P 500 surged +240 points adding +$2 TRILLION in market cap,” the analysis noted. “27 minutes later, Iran completely denied all of President Trump’s claims and said there has been ‘no contact’ with the US. By 8:00 AM ET. the S&P 500 had fallen -120 points erasing -$1 trillion in market cap. That’s a $3 TRILLION swing market cap in 56 minutes, just in the S&P 500. What is happening here?”The likely attempt at market manipulation only further solidifies doubts that Trump can reopen the Strait of Hormuz, pummel Iran into submission, or win the war he started. We should expect more bombs—at the very least—next week.“Every week, when markets open, Trump makes these kinds of statements to drive down oil prices. Even his five-day deadline aligns with the closure of the energy market,” Iranian academic Seyed Mohammad Marandi, who is closely linked to the government, wrote on X. “But in reality, there are no negotiations underway, nor does Trump have the capability to reopen the Strait of Hormuz. Iran’s firm threat has once again forced Trump to back down.”
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