Trump Rejects Iranian Peace Proposal, Oil Prices Rebound

Oil prices rebounded on Monday after US President Donald Trump rejected an Iranian peace proposal aimed at resolving the conflict and reopening the Strait of Hormuz.

The proposal was presented to the UN General Assembly in New York last week, but Trump said he had rejected it, despite telling Axios that he expected US negotiators to hold further talks this week.

Brent crude futures rose 1.50% to $106 a barrel, while US West Texas Intermediate crude was at $93.40 a barrel, up 1.10%, following the rejection of the proposal.

Geopolitical risks remain elevated as the Houthis and Iran continue attacks on Saudi Arabia, leaving regional oil supply flows vulnerable.