Trump Rejects Iranian Peace Plan, Oil Prices Soar on Strait of Hormuz Concerns
US-Iran tensions have pushed up oil prices after US President Donald Trump rejected an Iranian peace proposal. The plan would reopen the Strait of Hormuz to commercial shipping within seven days in exchange for the US lifting sanctions on Tehran.
The deadlock sent Brent crude futures soaring by 1.74% to $106.20 a barrel at 03:15 GMT on Monday, while WTI crude traded at $93.34 a barrel, up 1.01%. Iran's foreign minister Abbas Araghchi said the plan could be implemented 'if the necessary conditions are met.'
Trump countered that the US already has 'total control of the strait, with massive amounts of oil passing through it.' The Strait of Hormuz is a critical waterway for global oil supplies, and its closure or restriction would have significant implications for oil prices.