Markets staged a sharp intraday recovery Tuesday afternoon after President Donald Trump posted on Truth Social that he had ordered the U.S. Development Finance Corporation to provide political risk insurance and financial guarantees for all maritime trade transiting the Strait of Hormuz.

“Effective immediately, I have ordered the United States Development Finance Corporation (DFC) to provide, at a very reasonable price, political risk insurance and guarantees for the financial security of all maritime trade, especially energy, traveling through the Gulf,” Trump said on the social media platform Truth Social.

Trump also indicated that the U.S. Navy stands ready to escort tankers through the Strait of Hormuz.

The announcement offered the first concrete policy response to the energy supply disruption fears that had driven the session’s earlier selloff.

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