New uncertainty has hit the global markets as tensions continued to surface around negotiations to reopen the Strait of Hormuz, which is one of the world's most important oil shipping corridors.
Oil prices fell sharply earlier in the day on optimism linked to a possible US-Iran framework agreement, while equities climbed on hopes that this conflict was moving towards a de-escalation phase.
But markets turned so volatile after US President Donald Trump issued a bizarre and direct warning towards Oman during a Cabinet meeting that was held at the White House.
The remarks drew massive attention because Oman has long served as one of Washington's key diplomatic intermediaries with Iran.
The news has left many wondering what would become of the very fragile ceasefire deal between the US and Iran if America decides to turn on its own allies with such a threat.