Here are some key overnight market movers and geopolitical developments.
U.S. Stocks Plunge Across the Board
Wall Street ended the session deeply in the red. The tech-heavy Nasdaq Composite tumbled 2.15%, while the S&P 500 fell 1.21% and the Dow Jones Industrial Average declined 0.97%. The "Magnificent Seven" tech stocks collectively lost 4.8%, erasing a combined $797 billion in market capitalization. Tesla Motors (TSLA) shares plummeted over 14%, marking their worst single-day drop since March 11, 2025. Alphabet (GOOG) dropped more than 7%, its steepest decline since May 8, 2025, pushing its total market value below $4 trillion. Amazon.com (AMZN) fell over 4%, while Meta Platforms, Inc. (META) lost more than 3%. Microsoft (MSFT) and NVIDIA (NVDA) both slid over 2%, with Apple (AAPL) and Intel also declining more than 1%.
In commodities, COMEX gold futures fell 2% to $4,052.30 per ounce, while silver futures dropped 3.99% to $57.895 per ounce. In contrast, WTI crude oil for September delivery surged 6.17% to $92.19 per barrel, and Brent crude for the same month jumped 7.04% to $100.69 per barrel.
U.S. Announces New Tariff Measures Effective July 24
The Office of the United States Trade Representative issued a notice on July 23, announcing new tariffs of 10% to 12.5% on dozens of countries and regions. Citing Section 301 of the Trade Act of 1974 and allegations of "forced labor," these measures will replace the expiring global import tariffs. The new tariffs take effect at 12:01 a.m. Eastern Time on July 24.
This shift follows the U.S. Supreme Court's rejection of the administration's largest tariff initiative earlier this year, prompting the White House to adopt temporary 10% global tariffs. Those interim measures are set to expire at 12:01 a.m. Eastern Time on July 24.
Trump States He Is "Seriously Considering" Resuming Large-Scale Operations Against Iran
President Donald Trump stated on July 23 that he is "seriously considering" restarting major military operations in Iran. He claimed this new round of action would surpass the scale of the previous "Epic Anger" operation. Trump noted that he is "close" to a final decision and emphasized that the U.S. military is fully prepared. He also suggested that Israel would quickly join any military action if requested, but asserted that the U.S. is capable of launching a large-scale air campaign independently. Trump acknowledged the decision would have "significant consequences" and hinted that if Israel becomes involved, it could face a strong counterattack from Iran.
Regarding regional mediation efforts, Trump stated that while Iran appears willing to negotiate, it is still unwilling to reach a deal, accusing Tehran of facing "insufficient pressure." Multiple regional mediators reported that the Iranian leadership has not yet accepted the latest ceasefire proposal.
On July 23, the U.S. Senate voted 49-47 to reject a resolution aimed at limiting Trump's war powers concerning Iran. The Democratic-led resolution sought to block military action against Iran without congressional authorization. Earlier that day, the House of Representatives passed a separate resolution (214-208) calling for a halt to U.S. military operations against Iran. Analysts suggest that while these Democratic-backed votes are largely symbolic, they send a strong signal to Trump that his support on Capitol Hill is eroding as the conflict drags on and lawmakers from both parties question the administration's ultimate strategic goals.
Iran and Houthi Forces Assert Readiness for Potential U.S. Military Action
In response to ongoing U.S. strikes on Iranian targets and President Trump's escalating threats, Iranian military sources stated that "Iran's armed forces have prepared multiple response plans for any potential new U.S. attacks, especially if the U.S. government makes a mistake and initiates a ground invasion." They warned that if the U.S. strikes Iran's nuclear facilities or infrastructure again, Tehran's response will exceed Washington's expectations. An Iranian military spokesman also said on July 23 that if U.S. military operations against Iran continue, the Iranian armed forces will continue to target American assets in the region.
On the same day, Iran's Islamic Revolutionary Guard Corps (IRGC) issued a statement claiming that three oil tankers "misled by the U.S." were blocked while attempting to navigate a mined waterway south of the Strait of Hormuz. According to the statement, one tanker exploded and caught fire, while the other two turned back. The IRGC declared that it has taken control of and "completely blocked" the Strait of Hormuz, vowing that no tankers will be allowed to enter or exit as long as the U.S. continues its "provocative" actions in the region.
Yemen's Houthi foreign affairs chief stated on July 23 that President Trump's recent comments on the Yemen situation indicate U.S. support for a Saudi blockade of the country. He warned that the Houthi forces are "fully prepared to respond" if the U.S. launches further military operations in Yemen.
U.S. Military Reports 13th Consecutive Night of Airstrikes on Iran
U.S. Central Command reported conducting a new round of strikes against Iranian military targets beginning at 6:45 p.m. Eastern Time on July 23. Central Command described this as the 13th consecutive night of airstrikes on Iran, aimed at "degrading the threat the Islamic Revolutionary Guard Corps poses to commercial shipping."
Oilseeds and Fats Sector Strengthens Broadly
The vegetable oils and oilseeds sector has recently shown collective strength. Analysts attribute this to escalating geopolitical conflicts, specifically the ongoing hostile actions between the U.S. and Iran, which have fueled concerns about energy supply disruptions. Threats from Yemen's Houthis against shipping and their attacks on a Saudi oil tanker in the Red Sea have further boosted oil prices. Higher crude oil prices affect the oilseeds complex through two main channels: by increasing demand for biodiesel feedstocks like palm and soybean oil, and by driving up international prices for commodities like CBOT soybeans and soybean oil, which then pass through to domestic markets via higher import costs.
Beyond the rising crude oil price floor, analysts note that the sector's strength is also driven by fundamental changes in specific commodities. High-frequency data from Malaysia shows robust palm oil exports in the first half of July, while production has declined month-on-month due to heavy rainfall. This has kept origin prices firm, supporting palm oil futures. Rapeseed oil has led the sector's gains, boosted by both fundamentals and news flow. Canadian canola prices have surged recently, tracking the rally in U.S. soybean oil driven by American biofuel policy. This has raised crushing costs in China, lifting domestic rapeseed oil prices.
Fundamentals for palm oil have improved. Indonesia has moved forward the effective date of new export rules to September, raising market concerns about a future supply squeeze. High-frequency data showing a 0.77% month-on-month drop in Malaysian palm oil production from July 1-20 has further strengthened supply-tightening expectations.
Looking ahead, analysts expect the "weak reality, strong expectations" narrative for palm oil to persist. Short-term marginal improvement is limited, and prices are likely to remain in a high range. A breakout would require further catalysts from crude oil or weather. For rapeseed oil, U.S. biofuel policy provides solid medium-term support, keeping prices underpinned. However, increased arrivals of rapeseed in the near term and rising crushing volumes are easing supply tightness in the domestic market.
On the macro front, geopolitical risks are unlikely to fade quickly, and the strong crude oil trend is expected to continue, providing sustained support for the oilseeds and fats sector. The U.S. soybean crop is entering its critical growing season, keeping weather-related trading risks alive. Rising global probabilities of a super El Niño event are sustaining long-term supply concerns and boosting premiums for deferred futures contracts. However, ample domestic vegetable oil supplies, combined with the current off-season for consumption where end-users are buying only for immediate needs, are capping upside potential. Overall, the bullish external drivers are likely to clash with domestic fundamentals, keeping the oilseeds and fats sector in a volatile but strong range. The medium-to-long-term direction will depend on whether geopolitical risks subside, the actual impact of El Niño, and the implementation pace of the B50 biofuel policy.
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