A senior US administration official, on the Middle East conflict and President Trump's view, says "The Iranians f*cking around with the Strait makes him more dug in"

• An advisor says that Trump is bullish on the success of the operation thus far and believes the American people will believe it was the right approach once it is over.
• Advisor adds that Trump, and others in the administration, genuinely believe that gas prices will substantially fall when the Middle East conflict concludes, and long enough before the midterms to not be a problem.
• President Trump's advisers warn the Iran war could drag on longer if the regime succeeds in strangling the Strait of Hormuz and driving oil prices beyond his tolerance.

The comments from a senior U.S. official indicate increasing concerns regarding Iranian activity in the Strait of Hormuz, which suggests a potential escalation in the Middle East conflict. This affects sentiment in energy markets, particularly oil prices, as prolonged disruption could keep prices elevated, contrasting Trump’s optimistic outlook on falling gas prices post-conflict. Traders should be prepared for volatility in commodities and associated currencies as the situation develops.