Trump’s threat to hit Iran 'extremely hard' jolts Asian stocks, U.S. futures and oil first

In this article .KS11 XAU .DXY EUR KRW= Follow your favorite stocks CREATE FREE ACCOUNT U.S. President Donald Trump acknowledges those in attendance after speaking from the Cross Hall of the White House on April 1, 2026 in Washington, DC. Alex Brandon | Getty Images U.S. President Donald Trump said the U.S. will hit Iran "extremely hard" over the next two or three weeks in a national address on Wednesday. "We're going to hit them extremely hard over the next two to three weeks," he said. "We're going to bring them back to the stone ages, where they belong." But the first targets to bear the brunt of the president's "Epic Fury," Washington's name for the Iran operation, were Asian stocks, U.S. Treasuries and oil prices. Shortly after his 19-minute speech, Asian markets reversed earlier gains from Thursday's session, as benchmarks in Australia, Japan and South Korea fell. South Korea's Kospi plunged 4.37%, leading losses in the region. The Hong Kong and mainland Chinese markets, which opened their sessions shortly after his speech, started the day in negative territory. Markets reacted negatively because, while Trump says it is nearly over, he is sending the third aircraft carrier and more troops to the region so it is hard to believe his words. Alicia Garcia Herrero Chief Economist, Asia Pacific, Natixis U.S. stock futures were down over 1% for all three major indexes after trading flat earlier in the session. U.S. Treasury yields climbed after Trump's speech, signaling a sell-off in the bond market, with the yield on the benchmark 10-year notes climbing 6 basis points to 4.38%. In currencies, the U.S. dollar index rose 0.37% to 100.02, reversing earlier losses. The Japanese yen weakened 0.38% to 159.37 against the greenback, while the South Korean won fell 0.6% to 1,521.80. Both currencies had strengthened earlier in the session. The dollar also strengthened against other major currencies, with the Euro trading at 1.153, while the pound fell 0.57% to 1.32 against th...