U.S. Strikes Iran as Trump Declares Ceasefire Over

President Donald Trump declared the ceasefire with Iran over during a NATO summit on July 8, 2026, stating that further negotiations were a "waste of time." This policy shift led to military action on July 12, when the U.S. Central Command launched strikes against Iran, targeting more than 60 Islamic Revolutionary Guard Corps small boats in the Strait of Hormuz.

Iran responded to the U.S. strikes by conducting attacks on Kuwait and Bahrain. The U.S. military stated the strikes were intended to degrade Iran's ability to target civilian mariners and commercial shipping in the region. The escalation coincides with a July 17 deadline for the expiration of the OFAC wind-down period for Iranian oil transactions.

The conflict triggered a global market selloff. Crude oil prices spiked over 5%, while the Dow Jones Industrial Average dropped more than 500 points. The cryptocurrency market experienced significant volatility, with Bitcoin falling below $62,000 and liquidations reaching up to $450 million.