Trump Says U.S. Is Seizing Iranian Oil And "Loves" Inflation Spike
President Donald Trump said in an Oval Office exchange on June 10 that he "loves the inflation" because the U.S. is seizing Iranian and Venezuelan oil, a step he tied to higher oil prices.[1]
The Labor Department reported that consumer prices rose 0.5% in May from April and 4.2% year-over-year, the largest annual increase in three years.[2] Trump told reporters the United States has run a "secret mission" that moved more than 100 million barrels through the Strait of Hormuz, a figure NPR says lacks independent confirmation, and U.S. Central Command said it "communicate[s] and coordinate" with commercial ships without detailing direct military escorts.[3] A U.S. aircraft fired precision munitions into the Palau-flagged M/T Settebello's engine room in the Gulf of Oman, killing three Indian sailors and leaving 21 survivors.[4]
On February 28, 2026, the United States and Israel launched strikes on Iranian targets, touching off the wider Iran war and a spike in attacks on regional shipping. Iran then declared the Strait of Hormuz closed in early March, sharply cutting shipments and helping drive U.S. gasoline from about $4.04 per gallon in mid-April to $4.49 in mid-May before easing slightly.[2]
Early coverage highlighted Trump's economic framing and his "I love the inflation" remark, but reporting then shifted to the human and diplomatic fallout from U.S. naval actions.[5] Subsequent stories documented multiple merchant vessels disabled under the undeclared blockade and India summoning the U.S. chargé d'affaires after the Settebello strike.[4] The inflation surge and energy shock have left Federal Reserve Chair Kevin Warsh under pressure, with some Fed officials and markets moving toward a possible rate hike and futures pricing a December 2026 increase.[2] Average U.S. wages rose about 3.4% over the past year, leaving real pay behind as inflation outpaced gains.[6]
The mainstream summary emphasizes Trump's remarks about seizing Iranian oil and inflation but does not capture the broader geopolitical implications of these actions. Halina Bennet argues that while markets react to headlines like oil seizures and inflation spikes, they obscure a dangerous and unresolved geopolitical crisis that could have severe economic repercussions. This perspective highlights that relying on such short-term tactics may exacerbate volatility rather than stabilize the situation. Furthermore, the mainstream account does not mention that U.S. Central Command has intercepted numerous vessels attempting to violate the blockade, indicating a more extensive military operation than suggested. This operational context raises questions about the sustainability of the current approach and its potential long-term economic impacts, which are not fully reflected in the initial reporting.
Additionally, Nate Silver's analysis points out that Trump's approval ratings are influenced by partisanship and may not shift dramatically due to economic indicators like inflation alone. The mainstream summary implies a direct correlation between Trump's comments and public sentiment, but Silver emphasizes that reactions to such statements are nuanced and depend on various factors, including timing and the specific voter demographic surveyed. This complexity suggests that the political ramifications of Trump's remarks may be more intricate than the summary indicates, potentially leading to mixed electoral outcomes as public opinion evolves in response to ongoing events.
Show source details & analysis (7 sources)
📊 Relevant Data
CENTCOM reported intercepting 42 commercial vessels attempting to violate the US blockade of Iranian ports by April 29, 2026, including 41 tankers carrying 69 million barrels of oil.
Why and how is US blockading Iranian ports in Strait of Hormuz? — BBC
US Central Command has redirected over 100 commercial vessels as part of the naval blockade of Iranian ports that began April 13, 2026, while disabling at least four ships and permitting 26 humanitarian aid vessels to pass.
100 ships redirected amid naval blockade of Iran ports — The Hill
Oil flows through the Strait of Hormuz averaged 20.9 million barrels per day in the first half of 2025, equivalent to about 20% of global petroleum liquids consumption and one-quarter of total global maritime traded oil.
World Oil Transit Chokepoints — U.S. Energy Information Administration
📌 Key Facts
- On Wednesday, June 10, 2026, the Labor Department reported that headline consumer prices rose 0.5% in May from April and 4.2% year‑over‑year, the largest annual increase in three years.
- Core CPI, excluding food and energy, rose 2.9% year‑over‑year and 0.2% month‑over‑month in May 2026.
- Average U.S. gasoline prices rose from about $4.04 per gallon in mid‑April to $4.49 in mid‑May before easing to roughly $4.16 by early June, a spike PBS attributes to Iran’s closure of the Strait of Hormuz that disrupted roughly one‑fifth of global oil supply.
- In an Oval Office exchange on June 10, 2026, President Trump said “I love the inflation” and announced the U.S. has been “taking out millions of barrels of oil” from Iran and Venezuela.
- Trump also claimed — with no independent confirmation — that a U.S. "secret mission" has moved "more than 100 million barrels" through the Strait, while CENTCOM said it "communicate[s] and coordinate" with commercial ships but did not detail a direct military escort role.
- On June 10, 2026, a U.S. aircraft fired precision munitions into the engine room of the Palau‑flagged M/T Settebello in the Gulf of Oman; the strike killed three Indian sailors and left 21 survivors from a 24‑person Indian crew.
- U.S. strikes tied to the undeclared blockade have disabled multiple merchant vessels — CENTCOM and reporting show at least nine ships disabled since the blockade began on April 13, 2026 — and the Settebello strike prompted India to summon the U.S. chargé d’affaires in protest.
- The inflation surge, stronger hiring and the energy shock have put Federal Reserve Chair Kevin Warsh in a difficult policy position, with some Fed officials and futures markets shifting toward a possible rate hike (markets expect a December 2026 increase) rather than additional cuts.
📊 Analysis & Commentary (2)
"The author argues that recent market moves driven by headlines about oil, strikes, and a spike in inflation mask a still‑unresolved geopolitical crisis — criticizing political posturing and warning markets and policymakers are underestimating longer‑term risks rather than reckoning with them."
"A data‑focused commentary arguing that Trump’s popularity should be evaluated with careful polling aggregation and subgroup analysis: dramatic events and headlines (like his Oval Office remarks about seizing Iranian oil and welcoming inflation) may cause short‑term noise, but they do not by themselves upend the underlying, partisan‑driven contours of his approval ratings."
📰 Source Timeline (7)
Follow how coverage of this story developed over time
- The Palau-flagged MT Settebello was struck by a U.S. aircraft on Wednesday, June 10, 2026 in the Gulf of Oman, killing three Indian sailors and leaving 21 survivors from a 24-person Indian crew.
- U.S. Central Command said on X that one of its aircraft fired precision munitions into the Settebello's engine room after the crew repeatedly failed to follow directions.
- Tanker operator iOS Marine publicly denied any affiliation with Iran or Iranian oil and said, to its knowledge, no warning call or communication was successfully established before the strike.
- iOS Marine also asserted that Settebello had been stationary for roughly 10 days prior to the incident and was not maneuvering or attempting to transit the area when it was hit.
- India’s Ministry of External Affairs summoned the U.S. chargé d’affaires and lodged a strong protest over the Settebello strike, and officials identified the dead sailors as Aditya Sharma (cadet), Shivanand Chaurashiya (fitter) and chief engineer Patnala Suresh.
- India confirmed that two other recent U.S. strikes in the Gulf of Oman also hit tankers with mostly Indian crews: the Palau-flagged Marivex on Monday, June 8, 2026 (24 crew rescued before it sank) and the Guinea-Bissau-flagged Jalveer near Shinas, Oman, where the Omani navy evacuated 20 crew.
- Provides on‑the‑record CENTCOM narratives of the June 8–9, 2026 disabling of the M/T Settebello, Jalveer, and Marivex as part of the Iran naval blockade, including that Hellfire missiles were fired into the engine rooms after repeated non‑compliance.
- Confirms that the Settebello strike killed three Indian sailors and that India summoned a senior U.S. diplomat to protest, illustrating concrete human and diplomatic fallout from the oil‑seizure and blockade policy that Trump had previously described in broader terms.
- Reports CENTCOM’s updated tally that at least nine ships have been disabled since the blockade started on April 13, 2026, providing scale to the administration’s undeclared “seizing Iranian oil” campaign.
- NPR reports on June 11, 2026 that the Labor Department’s latest data show U.S. consumer prices in May were up 4.2% from a year earlier, the largest annual increase since April 2023.
- The same report notes that average U.S. wages over the past year rose only 3.4%, meaning real wages fell as inflation outpaced pay gains.
- NPR says Federal Reserve Chair Kevin Warsh faces pressure from President Trump, who has been publicly demanding lower interest rates even as inflation accelerates, and that Warsh’s first rate-setting meeting is scheduled for next week with expectations that rates will remain elevated for an extended period.
- On June 10, 2026, President Trump elaborated that since last month the U.S. military has conducted a "secret mission" to slip oil shipments past Iranian forces in the Strait of Hormuz at night after U.S. forces destroyed Iranian radar.
- Trump claimed more than 100 million barrels of oil have moved through the Strait under this mission, roughly equal to about five days of prewar traffic, though NPR noted there was no independent confirmation of this figure.
- CENTCOM spokesman Capt. Tim Hawkins stated that U.S. forces "communicate and coordinate" with commercial ships in the Strait region but did not detail the nature of any direct military role in escorting or shielding the alleged shipments.
- The article reports that on June 10, an American aircraft fired precision munitions into the engine room of the Palau-flagged tanker M/T Settebello as it attempted to run the U.S. naval blockade with Iranian oil, the eighth merchant vessel disabled by U.S. forces under the blockade.
- On Wednesday, June 10, 2026, in an Oval Office exchange, President Donald Trump responded to a question about May's 4.2% year-over-year Consumer Price Index by saying, "No, I love it," and added, "I love the inflation."
- Trump said he is "just announcing today for the first time" that the United States has been "taking out millions of barrels of oil" from Iran "every night," claiming U.S. forces recently "took out" 22 ships "late at night, with no lights" after disabling Iranian radar.
- He asserted that these covert seizures are a key reason oil is about $85 a barrel, even as Brent crude was trading near $94 per barrel around midday Wednesday, June 10, 2026.
- Trump said the U.S. is extracting "millions" of barrels of oil from both Venezuela and Iran and predicted that once the war ends, oil prices and inflation will "come down like a rock."
- The article notes that Trump remains underwater in polls on the economy despite previously strong ratings on cost-of-living issues and that the 4.2% inflation reading arrives in a midterm election year when Republicans are trying to hold the House and Senate.
- On Wednesday, June 10, 2026, the Labor Department reported that headline consumer prices rose 0.5% in May from April, after monthly gains of 0.6% in April and 0.9% in March.
- The article reinforces that May 2026 headline CPI rose 4.2% year-over-year, the highest annual inflation rate in three years.
- Core CPI, excluding food and energy, rose 2.9% year-over-year in May and 0.2% month-over-month, a slower monthly pace than April’s 0.4% increase.
- Average U.S. gasoline prices rose from about $4.04 per gallon in mid-April 2026 to $4.49 in mid-May, before easing back to about $4.16 by early June, according to federal data and AAA.
- The article attributes May’s gasoline spike to Iran’s closure of the Strait of Hormuz, which disrupted roughly one-fifth of global oil supply.
- The piece reports that more Federal Reserve officials now see the next move as a possible rate hike rather than an additional cut, and that futures markets expect a rate increase in December 2026.
- The article notes that hiring strengthened in May and the broader economy continues to grow, which Fed officials view as reducing pressure to cut rates.
- It identifies Kevin Warsh as the current Federal Reserve chair and says the inflation upturn leaves him in a difficult policy position.