US to roll out program aimed at stabilizing oil markets amid Iran war

The United States will begin rolling out a program on Tuesday aimed at easing surging oil prices and calming global markets rattled by the escalating war with Iran, Secretary of State Marco Rubio said Monday.

Speaking as US military operations against Iran enter a new phase, Rubio said the administration is working across agencies to prevent energy shocks from compounding the geopolitical crisis.

“So, we knew that would be a factor,” Rubio told reporters before briefing lawmakers on Capitol Hill about Operation Epic Fury.

The top US diplomat said that discussions were held with the US energy and treasury secretaries on Sunday night and again on Monday morning. “And starting tomorrow, you will see us rolling out those phases to try to mitigate against that. Obviously, markets are going to be reacting to news about what’s happening,” Rubio said.

Rubio went on to highlight that the Iranian regime had the ability to potentially shut off 20 percent of global energy. “That’s the kind of leverage they have because of their navy. We’re going to destroy their navy, but there is a plan in place,” he said.

Crude prices jumped more than 6 percent on Monday, likely signaling higher gas prices at stations across the US.

Nevertheless, the NASDAQ and S&P 500 both ended with a meager gain of less than 0.1 percent. The Dow Jones dipped less than 0.1 percent.

Iran has previously threatened to target oil facilities and shipping routes in response to US strikes, raising fears of supply shortages and broader economic fallout.

Energy analysts warn that even the perception of instability in the Strait of Hormuz, through which roughly a fifth of the world’s oil supply passes, can trigger sharp price swings. Insurance premiums for tankers operating in the region have already risen, and several shipping companies are reportedly reviewing risk assessments.