Trump Vows Strikes For 'Two To Three Weeks' More On Iran: Crude ETFs USO, BNO Surge As Oil Futures-SPY Divergence Hit 20-Year Record

U.S. crude oil ETFs skyrocketed overnight after President Donald Trump announced an extension of “Operation Epic Fury,” warning of relentless military strikes on Iran for another “two to three weeks.” The geopolitical escalation coincides with a historic decoupling between equities and oil markets. Crude Oil Markets React Energy markets reacted violently to the prolonged military timeline as Trump said, “We are going to hit them extremely hard over the next two to three weeks,” during his address. The United States Oil Fund (NYSE:USO), which tracks WTI Crude futures, surged 5.85% in overnight trading to reach $131.35, while the United States Brent Oil Fund (NYSE:BNO), tracking Brent Crude, leaped 6.30% to hit $53.50. Despite the surge, Trump downplayed domestic energy risks, claiming the U.S. is insulated. “We have so much gas,” he noted. “We produce more oil and gas than Saudi Arabia and Russia combined.” Historic Market Divergence The ongoing conflict has triggered an unprecedented fracture in broader financial markets. According to data from The Kobeissi Letter, the S&P 500 tracker, State Street SPDR S&P 500 ETF Trust (NYSE:SPY) and USO have moved in opposite directions for 38 of the last 50 trading sessions. This 76% inverse movement rate shatters the previous 20-year record of 36 days set during the 2008 Financial Crisis. While crude prices have surged over 72% during this 50-day window, the S&P 500 has declined 4%, solidifying a historically high negative correlation of -0.4 amid wartime uncertainty. Stocks and oil prices are increasingly moving in opposite directions:The S&P 500 ETF, $SPY, and the United States Oil ETF, $USO, have moved in opposite directions in 38 sessions over the last 50 trading days, the highest in at least 20 years.In other words, in 76% of recent… pic.twitter.com/wuyuLb2R6l— The Kobeissi Letter (@KobeissiLetter) April 2, 2026 The ‘Epic Fury’ Continues In a prime-time address marking one month since the U.S. began its military campaign against Iran, President Trump declared that Iranian defense capabilities have been thoroughly eviscerated. However, he warned that the U.S. is prepared to extend the bombardment to force a diplomatic resolution. “We’re going to bring them back to the stone ages where they belong.” The President explicitly threatened to target Iranian electric generating plants simultaneously if a deal is not reached, adding further anxiety to global supply chains. Crude Soars Following Trump’s Speech Following Trump’s speech both Brent and WTI Crude Oil futures surged. At the last check, WTI futures rose 5.06% to $105.19, close to its day’s high at $105.65. Similarly, Brent futures were 5.98% higher at $107.24, closer to its day’s high of $108.14. The SPY and Invesco QQQ Trust ETF (NASDAQ:QQQ), which track the S&P 500 and Nasdaq 100, respectively, closed higher on Wednesday. The SPY was up 0.75% at $655.24, while the QQQ advanced 1.24% to $584.31. Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors. Photo courtesy: Shutterstock