Donald Trump’s response to Iran’s latest proposal triggered renewed attention across global energy markets ahead of another critical stage in the ongoing conflict. The US president’s remarks, combined with rising uncertainty surrounding international negotiations, intensified concerns about supply disruptions and market stability.
Donald Trump’s dismissal results in oil prices going up
The BBC reported that oil prices rose after President Donald Trump rejected Iran’s response to peace proposals. Trump called Iran’s response “totally unacceptable” after Tehran demanded guarantees against future United States and Israeli attacks. Brent crude increased 4.1% to $105.50 per barrel during Monday trading in Asia.
United States crude rose 4.4% to $99.80 per barrel after Trump’s statement. Tehran sent its response through Pakistan, which acted as a mediator between the two governments. Washington demanded the restoration of shipping through the Strait of Hormuz and suspended Iranian nuclear enrichment activities.
The Strait of Hormuz has remained effectively closed since fighting started on 28 February. The closure disrupted global oil and gas shipments across international markets. Iran threatened attacks against vessels crossing the waterway after the United States and Israeli strikes. About one-fifth of global oil and gas shipments normally pass through the strait. Trump extended a ceasefire indefinitely on 21 April to continue diplomatic negotiations with Iran. Iran later submitted terms demanding an immediate end to the conflict and security guarantees.
Israeli Prime Minister Benjamin Netanyahu said the conflict would continue until Iran’s enriched uranium stockpiles were removed. A ceasefire announced during early April allowed temporary peace negotiations between the involved governments. Energy prices fluctuated sharply throughout the conflict because traders feared supply disruptions. Brent crude remained above $100 per barrel after the ceasefire started on 8 April. Energy companies reported increased profits because higher oil and gas prices strengthened market revenues.
Aramco chief Amin Nasser said the company’s pipeline avoided shipping disruptions caused by the conflict. BP reported that first-quarter profits more than doubled during the same period. Shell also announced increased earnings after global oil and gas prices climbed sharply. London’s air ambulance reported that helicopter operating costs increased from £222 hourly during February to £483 hourly recently.
Originally reported by Vritti Johar on Mandatory.com.
