Oil Prices Surge as US-Iran Tensions Flare Again

Oil prices surged on Tuesday after mixed signals from the United States and Iran over potential negotiations concerning the Strait of Hormuz. Brent crude futures rose 2.7% to $86.05 per barrel, while U.S. West Texas Intermediate (WTI) crude futures gained 2.3% to $82.22 per barrel.

The latest gains came after contradictory remarks from Washington and Tehran cast doubt over the prospects for negotiations aimed at easing tensions in the region. U.S. President Donald Trump said on Monday that discussions with Iran were underway, describing the current situation as Tehran's 'last chance' to reach an agreement.

However, Iran rejected claims that direct negotiations with Washington were taking place. Iranian Foreign Ministry spokesperson Esmaeil Baqaei said Tehran was not engaged in talks with the United States and was instead coordinating with Oman on arrangements for vessel traffic through the Strait of Hormuz.