Oil prices moved higher after President Donald Trump rejected an Iranian peace proposal, adding fresh uncertainty to an already tense energy market.
Reuters reported that the proposal was intended to help resolve the conflict and reopen the Strait of Hormuz, a critical route for global energy shipments. The rejection renewed concerns about the security of oil supplies moving through the region and helped lift crude prices.
Brent crude and U.S. 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.
The Strait of Hormuz remains central to the market because disruptions there can affect a significant share of global petroleum flows. For now, oil prices are responding closely to developments involving Iran, regional shipping, and any potential diplomatic progress.
