Oil prices climbed and stocks tumbled in early trading on Wednesday following an exchange of strikes in the Middle East and President Donald Trump's declaration that an agreement with Iran is "over." Mention of the deteriorating situation sent Brent crude, the benchmark for international oil trading, up more than 5% to nearly $78 a barrel. Stocks reacted negatively to the heightened tensions and rising oil prices. The Dow Jones Industrial Average dropped 600 points, or 1.1%, the S&P 500 declined 0.6%, and the Nasdaq fell 0.4%. These market movements follow a period of reduced oil prices. An agreement between the U.S. and Iran last month had allowed commercial shipping to resume through the Strait of Hormuz, a critical route for about one-fifth of global oil supply. This resumption, coupled with a 60-day toll-free period for passage, had previously led to oil prices falling below pre-war levels. However, recent escalations have reignited upward pressure on oil prices. Iran's military announced Wednesday that it launched attacks targeting 85 U.S. military sites in Kuwait and Bahrain. The strikes were described as retaliatory actions following a series of U.S. airstrikes on Iranian targets. U.S. forces had conducted airstrikes overnight, hitting over 80 targets. According to U.S. Central Command, these actions were an immediate response to Iran's attacks on three commercial vessels in the Strait of Hormuz. President Trump stated that while negotiations with Iran would continue, he believes the current agreement is "over." He described dealing with Iran as "a waste of time" during a press conference in Ankara, Turkey, where he was attending the NATO summit. The conflict has previously impacted global markets, notably causing Iran to close the Strait of Hormuz. This closure led to a significant oil shock and a surge in oil prices.