Trump Rejects Iranian Peace Proposal, Oil Prices Surge

Oil prices surged on Monday after US President Donald Trump rejected an Iranian peace proposal. The deal aimed to resolve their conflict and reopen the Strait of Hormuz, a key shipping route.

Brent crude futures rose by $1.82, or 1.74%, to reach $106.14 per barrel at 2202 GMT. Meanwhile, US West Texas Intermediate crude increased by $1.14, or 1.23%, to $93.55 a barrel.

The price rebound follows a sharp weekly drop for U.S. crude oil, with West Texas Intermediate falling 7.9% and Brent declining 5.8%. Iranian Foreign Minister Abbas Araghchi stated that Tehran presented a new proposal to open the shipping route within seven days if Washington adheres to terms from an earlier agreement.

'I think it would be much better if it is done before the midterm election, but it depends on the U.S. administration to decide,' said Abbas Araghchi.