U.S. stock futures fell Monday after President Donald Trump announced a blockade of the Strait of Hormuz, with peace talks between the U.S. and Iran over the weekend ending without a deal. Dow Jones Industrial Average futures were down 469 points, or 1%. S&P 500 futures shed 0.7% along with Nasdaq-100 futures. Goldman Sachs was a sore spot in premarket trading. Shares were down 4% despite the bank’s strong overall earnings after it recorded disappointing trading results in its fixed income unit. “Effective immediately, the United States Navy, the Finest in the World, will begin the process of BLOCKADING any and all Ships trying to enter, or leave, the Strait of Hormuz,” Trump wrote on Truth Social. “The Blockade will begin shortly. Other Countries will be involved with this Blockade. Iran will not be allowed to profit off this Illegal Act of EXTORTION.” The breakdown of negotiations in Islamabad reignited worries that the Iran war will last longer than feared, leading to higher oil prices that will continue to strain economies worldwide. U.S. Central Command said it will begin blocking all maritime traffic in and out of Iran’s ports at 10 a.m. ET Monday. The U.S. said it will not block vessels using the strait to get to non-Iranian ports. Vice President JD Vance left Islamabad without a deal with his Iranian counterparts, citing their unwillingness to stop the pursuit of nuclear weapons. But both sides appear farther apart than just that issue, with Iran demanding control of the Strait of Hormuz, war reparations and the release of frozen assets. Pakistan officials said they would try to restart talks in the coming days. Trump, who announced the naval blockade after talks broke down, is weighing resuming military strikes, the Wall Street Journal reported, citing officials familiar with the situation. “Investors are now back to the drawing board trying to reassess the fair value of stocks now that it’s clear that there is no end in sight to the conflict in the Middle East,” said Clark Bellin, president and chief investment officer at Bellwether Wealth. “The Strait of Hormuz is key for oil prices and overall market sentiment, and it’s clear that there will be more saber rattling over this waterway between the U.S. and Iran this week.” Hopes for a swift end to the war helped all three major benchmarks post their best week since November, following the announcement of a two-week ceasefire between the U.S. and Iran. The S&P 500 rallied 3.6% last week, while the Nasdaq jumped about 4.7%. The Dow gained 3%. First-quarter earnings season unofficially kicks off this week. The nation’s largest banks will get it started, with Goldman Sachs slated to release results on Monday. Citigroup, Wells Fargo, JPMorgan Chase, Morgan Stanley and Bank of America are all on the docket later this week. Treasury yields edged higher on Monday as the breakdown of negotiations between Iran and the U.S. clouded the inflation outlook once again. The yield on the 10-year U.S. Treasury note — the benchmark for government borrowing — was up more than 3 basis points at 4.355%. The 2-year Treasury note yield, which is more sensitive to short-term Federal Reserve interest rate decisions, rose more than 3 basis points to 3.837%. The longer-dated 30-year Treasury note yield also advanced more than 3 basis points to 4.946%. Asia-Pacific markets traded lower Monday, as investors weigh a U.S. naval blockade on Iran’s ports after talks between Washington and Tehran failed to produce an agreement to end the conflict in the Middle East. Japan’s Nikkei 225 ended Monday’s session 0.74% lower, while the Topix declined 0.45%. South Korea’s Kospi closed the session at 0.86% lower at 5,808.62, while the small-cap Kosdaq gained 0.57% to 1,099.84 in choppy trade. The S&P/ASX 200 fell 0.39% to 8,926. Mainland China’s CSI300 index ended the session on Monday 0.21% higher, while Hong Kong’s Hang Seng index was 1.01% lower in afternoon trade. India’s Nifty 50 was last down 1.04%, while the BSE Sensex fell 1.01%. Crude oil prices surged on Monday as the U.S. Navy prepares to impose a blockade on Iran’s ports after peace talks failed over the weekend. U.S. crude oil futures for May delivery jumped over 7% to $103.66 per barrel by 5:04 a.m. ET. International benchmark Brent for June delivery advanced 7.2% to $102.05. Gold prices declined on Monday as renewed fears of a wider ​Middle East conflict spurred by ​failed U.S.-Iran talks boosted ​oil prices, fueled inflation concerns and reduced expectations of U.S. Federal Reserve rate cuts this year. Spot gold fell 0.6% at $4,719.54 per ounce, as of 0918 GMT, after ⁠hitting ‌its lowest since April 7 earlier in the day. ⁠U.S. gold futures for June delivery dropped 1% to $4,741.70.