CrudeMonday, 11 May 2026·India
Oil Prices Jump After Trump Rejects Iran’s Peace Proposal
Global oil prices moved sharply higher during early Asian trading on Monday after US President Donald Trump rejected Iran’s response to a proposed peace agreement drafted by Washington.
Brent crude climbed more than 3%, trading above $104 per barrel, while WTI crude also gained over 3%, approaching the $99 per barrel level as market concerns over Middle East tensions intensified again.
The rally came after Trump stated on social media that Iran’s reply to the US proposal was “completely unacceptable.” Although the President did not reveal the exact contents of Iran’s response, he warned that failure to reach an agreement soon could lead to renewed military escalation.
Reports suggest that Iran’s proposal included demands for an immediate end to the conflict, recognition of Iran’s control over the Strait of Hormuz, and the removal of the US blockade on Iranian exports.
However, several US allies in the region reportedly opposed any arrangement that would allow Iran to control shipping movement or impose tolls in the Strait of Hormuz, one of the world’s most important energy trade routes.
Just hours before officially rejecting the proposal, Trump had also accused Iran of delaying negotiations and “playing games” during the peace process, signaling growing frustration from the US side.
Attention is now shifting toward Trump’s upcoming visit to Beijing on Wednesday, where discussions are expected to include the Iran situation and China’s possible role in easing tensions. Market participants are closely watching whether China could influence Iran to reopen the Strait of Hormuz and stabilize regional trade flows.
Despite Monday’s rebound, oil prices still remain below the highs reached last week when initial reports of a possible peace agreement first surfaced. Analysts believe prices could rise further if negotiations collapse completely, although expectations of diplomatic involvement from China may help limit gains in the short term.
Stay ahead of market trends with the Credco app. For any queries, please reach out via WhatsApp at +91 8448083211.
Brent crude climbed more than 3%, trading above $104 per barrel, while WTI crude also gained over 3%, approaching the $99 per barrel level as market concerns over Middle East tensions intensified again.
The rally came after Trump stated on social media that Iran’s reply to the US proposal was “completely unacceptable.” Although the President did not reveal the exact contents of Iran’s response, he warned that failure to reach an agreement soon could lead to renewed military escalation.
Reports suggest that Iran’s proposal included demands for an immediate end to the conflict, recognition of Iran’s control over the Strait of Hormuz, and the removal of the US blockade on Iranian exports.
However, several US allies in the region reportedly opposed any arrangement that would allow Iran to control shipping movement or impose tolls in the Strait of Hormuz, one of the world’s most important energy trade routes.
Just hours before officially rejecting the proposal, Trump had also accused Iran of delaying negotiations and “playing games” during the peace process, signaling growing frustration from the US side.
Attention is now shifting toward Trump’s upcoming visit to Beijing on Wednesday, where discussions are expected to include the Iran situation and China’s possible role in easing tensions. Market participants are closely watching whether China could influence Iran to reopen the Strait of Hormuz and stabilize regional trade flows.
Despite Monday’s rebound, oil prices still remain below the highs reached last week when initial reports of a possible peace agreement first surfaced. Analysts believe prices could rise further if negotiations collapse completely, although expectations of diplomatic involvement from China may help limit gains in the short term.
Stay ahead of market trends with the Credco app. For any queries, please reach out via WhatsApp at +91 8448083211.