Oil prices rose sharply on Monday after U.S. President Donald Trump rejected a conditional Iranian peace proposal aimed at ending the Middle East conflict and reopening the Strait of Hormuz.
Brent crude futures with November expiry traded 2.7% higher at $107.11 per barrel at 8:32 a.m. ET, after climbing as high as $108.83 earlier in the session. U.S. West Texas Intermediate futures with November expiry were last seen 3% higher at $95.20.
The move followed a Wall Street Journal report, citing unnamed U.S. officials, that Trump turned down Iran's conditional offer to reopen the Strait of Hormuz and told aides he expects U.S. strikes on Iran to resume after November's midterm elections. Trump later confirmed to reporters he had rejected Tehran's latest proposal, saying, "They made a proposal but I rejected it."
Separately, Yemen's Saudi-led coalition said on Saturday it had intercepted projectiles launched by Iran-backed Houthi rebels.
Iranian Foreign Minister Abbas Araghchi had offered on Friday to reopen the key shipping route and restart nuclear negotiations with Washington within seven days if the Trump administration agreed to Tehran's conditions. "If certain conditions are met, the Strait of Hormuz will be open at the end of seven days, and talks will be restarted," Araghchi said on the sidelines of the United Nations General Assembly in New York.
