Trump Rejects Iran Peace Proposal, Oil Prices Rebound Amid Uncertainty

Oil prices have rebounded after US President Donald Trump rejected an Iranian peace proposal, adding fresh uncertainty to the already tense energy market.

The proposal was intended to help resolve the conflict and reopen the Strait of Hormuz, a critical route for global energy shipments. Reuters reported that the rejection renewed concerns about the security of oil supplies moving through the region and helped lift crude prices.

Brent crude and US West Texas Intermediate crude both gained as traders weighed diplomatic developments against signs that some Middle Eastern exports were recovering.

Iran has maintained that diplomacy remains the path toward resolving the conflict, while Trump has left open the possibility of additional negotiations. At the same time, shipments from major producers including Saudi Arabia and the United Arab Emirates have been increasing.