Trump Rejects Iran's Peace Proposal, Oil Prices Soar

Oil prices surged on Monday after US President Donald Trump rejected Iran's peace proposal to resolve their conflict and reopen the Strait of Hormuz. This move keeps tensions in the Middle East elevated, causing Brent crude futures to rise $1.32, or 1.27%, to $105.64 a barrel by 0036 GMT.

US West Texas Intermediate crude was at $93.11 a barrel, up 70 cents, or 0.76%. The rejection of the peace deal comes after Iran announced its proposal last week at the UN General Assembly in New York, saying it had been transmitted to the Americans via Qatari mediators.

Trump said on Saturday he rejected the plan but told Axios that he expected US negotiators to engage in more talks this week. Despite the tension, crude oil exports from key Middle East producers rebounded in September to 12.8 million barrels per day, the highest since the war started in February.