Oil prices rose for a third consecutive session, with Brent crude futures settling above $107 per barrel. President Trump rejected Iran's latest peace proposal and characterized the month-long ceasefire as being on life support.
Stalled diplomatic efforts heighten fears of prolonged supply disruptions through the Strait of Hormuz. The global market currently grapples with a supply deficit between 10 million and 13 million barrels per day. These shortfalls are being met by draws from global inventories.
Analysts suggest the breakdown in talks could push Brent prices toward $115 per barrel. The CEO of Saudi Aramco warned that market stability may be delayed until 2027. Ongoing disruptions and damage to production infrastructure continue to hinder a return to normal operations.