Oil prices jumped in Asian trading on Monday after US President Donald Trump dismissed Iran’s response to Washington’s proposals to end the war as “totally unacceptable.”
Tehran’s reply, delivered via Pakistan, which has acted as mediator, called for an immediate end to hostilities and guarantees against further US‑Israeli attacks, according to Iran’s semi‑official Tasnim news agency.
International benchmark Brent crude rose 4.1 percent to $105.50 (£77.60) a barrel, while US‑traded West Texas Intermediate climbed 4.4 percent to $99.80, BBC reports.
The gains reflect mounting supply concerns as the Strait of Hormuz, a vital Persian Gulf chokepoint through which about a fifth of global oil and gas shipments normally pass, has remained effectively closed since the war began on 28 February.
Responding to Tehran’s terms, Trump wrote on Truth Social, “I have just read the response from Iran’s so‑called ‘Representatives.’ I don’t like it — TOTALLY UNACCEPTABLE.”
US proposals reportedly included restoring free transit through Hormuz and suspending Iranian nuclear enrichment, Axios reported.
Israeli Prime Minister Benjamin Netanyahu added that the conflict cannot be considered over until Iran’s enriched uranium stockpiles are “taken out.”
A ceasefire announced in early April to facilitate talks has been largely observed despite sporadic clashes. On 21 April, Trump extended the truce indefinitely to give Tehran time to present a “unified proposal.”
Energy prices have swung wildly since the conflict erupted, with Brent crude climbing back above $100 a barrel since the ceasefire took effect.
Major energy firms have reaped windfalls from the volatility. Saudi Aramco reported Sunday that its earnings rose more than 25 percent in the first quarter compared with the same period in 2025.
Chief executive Amin Nasser said the company’s cross‑country pipeline had “proven itself to be a critical supply artery” by bypassing shipping disruptions caused by the Iran war.
