As the conflict in the Middle East enters its 10th day, Trump hinted that the U.S. war against Iran may end soon, saying that the military operation is progressing much ahead of schedule. "I think it's pretty much done, pretty thorough," Trump said in a phone interview with CBS on Monday. "The current progress of military operations is significantly ahead of the originally anticipated four to five-week timetable." When it comes to Iran, he said: "They don't have a navy anymore, they don't have a communications capability, they don't have an air force anymore."
Trump will hold a news conference in Florida on Monday evening and will return to Washington later in the day.
The S&P 500 turned positive and hit session highs, while WTI crude oil fell to session lows near $91 a barrel. The U.S. dollar index also fell to session lows.
Oil prices pared some gains earlier on Monday as the world's major economies considered a coordinated release of emergency oil reserves. Volatile trading over the weekend briefly saw oil prices top $118 a barrel. The Strait of Hormuz remains de facto closed, and countries have yet to reach a final plan on how to ensure the safe passage of ships through this critical waterway.
In an interview with CBS, Trump mentioned that the number of ships traveling through the Strait of Hormuz is increasing and that he is considering taking over the Strait. It's unclear exactly what actions he plans to take.
The U.S. leader, who has previously faced persistent inflation concerns, must now also contend with rising retail gasoline prices as the war shows no sign of a ceasefire. On Sunday, Trump called $100 oil a "small price to pay" that would quickly fall back once the Iranian nuclear threat was completely destroyed.
The closure of the Strait of Hormuz has forced Saudi Arabia, the world's largest oil exporter, to cut output, people familiar with the matter said. Previously, the United Arab Emirates, Kuwait and Iraq also took similar actions.
Futures prices retreated after G7 finance ministers said they were prepared to take any necessary steps to support global energy supplies, including releasing strategic petroleum reserves.
However, France, which currently holds the rotating presidency, said that the G7 has not yet reached the step of releasing emergency crude oil reserves. The organization said in a statement that it will "continue to closely monitor energy market situations and dynamics and stand ready to take necessary measures, including releasing stockpiles to support global energy supply."