Oil prices rise after Trump rejects Iranian proposal

Brent crude futures rose 2.49% to $106.92 a barrel at 08:03 GMT on Monday, 28 September, while US West Texas Intermediate gained 2.25% to $94.49. Capital Economics economist Hamad Hussain told Reuters that prices appeared to have jumped in response to US President Donald Trump’s rejection of Iran’s proposal. [3]

Trump said on Saturday that he had rejected the plan. As described by Axios, Iran proposed reopening the Strait of Hormuz and restarting nuclear talks within a week if the US lifted its naval blockade, removed sanctions on oil sales and reinstated a ceasefire across the region. Trump told Axios on Sunday that he expected further talks this week. [2]

Iranian foreign minister Abbas Araghchi told NBC, in remarks reported by Axios, that Iran still wanted a diplomatic solution and was awaiting an official response through mediators. [2]

Preliminary Kpler figures cited by Reuters put September crude exports from key Middle Eastern producers at 12.8 million barrels a day, their highest since the war began in February. Kpler expected shipments through Hormuz to reach about 7.4 million barrels a day this month. [3]