Global Oil Prices Rebound Across International Markets as US Rejects Iran’s Ceasefire and Strait of Hormuz Proposal
LONDON / NEW YORK: International trading markets for crude oil had a sharp rally after U.S. President Donald Trump announced that he would not support Tehran’s proposed seven-day ceasefire and maritime normalization roadmap.
Investors’ worries about the ongoing supply issues in the Persian Gulf took prices immediately higher, foreign media and commodities markets reports said.
Brent Crude: International benchmark Brent crude rose $1.82 (or 1.74%) to $106.14 a barrel.
US benchmark West Texas Intermediate (WTI) crude rose $1.14 (or 1.23%) to $93.55 a barrel.
A rejection of Ceasefire Stoking Supply Fears.
Washington’s rejection of Iran’s diplomatic offers for a temporary ceasefire, and conditional reopening of the vital Strait of Hormuz, as reported by Wall Street Journal, helped drive the price rally.
Energy analysts say that if any progress is not made towards a viable diplomatic process in Doha, mediated by Qatar, it could trigger further tensions in global energy markets – with direct implications for shipping insurance and fuel prices across the world.