Trump expects two to three weeks more of military action in Iran
April 2, 2026
The energy markets are closed tomorrow 4-3-2026 for Good Friday. So, there are no forward contracts tomorrow.
Here is the DOE inventory data but at this point I am not sure this has an enormous impact on the markets as President Trump’s speech, and the conflict tin Iran are front and center in the news.
DOE report showed a big build in crude oil inventories of 5.45 million barrels, gasoline stocks were down 590,000 barrels and distillates were down 2.11 million. Total crude oil supplies are now at 461.636 and last year they were 439.792. Total gasoline stocks are now at 240.861 and last year they were 237.577. Total distillates are now 117.825 and last year they were 114.626.
Propane inventories were up a big 4.063 million barrels, putting total stocks at 77.026 million barrels and last year they were 44.141 million. Ready to use propane inventories are 29.1 million barrels higher than they were last year, a big number. Propane prodctuion has been strong last week’s production was 2.959 million bpd, the highest on record and then this week’s report has 2.997 million bpd, a new all-time high. Midwest stocks were up 57,000 barrels, putting total Midwest stocks at 14.578 million and last year they were 9.432 million. Gulf Coast stocks were up 3.638 million barrels, putting total stocks at 56.034 million and last year they were 28.683.
The President did not declare the war with Iran over in his address last night but two to three more weeks of intense military actions. This has pushed energy prices much higher in last night’s trading and this morning as well.
The objectives of Operation Epic Fury in coordination with Israel’s Operation Rising Lion were stated as follows.
Destroy Iran’s ability to project military power beyond its borders by:
- Destroy its air force.
- Destroy its navy.
- Destroy its ballistic missiles and platforms for delivering them.
- Destroy its military manufacturing facilities.
- Reduce its economic capabilities for supporting proxies such as Hamas, Hezbollah and the Houthis and terrorist activities.
- Destroy its nuclear program and related facilities.
President Trump believes these military objectives will be accomplished in the next few weeks and then the military action will end.