Oil prices increased yesterday following the rejection of the United States President, Donald Trump, to Iran’s terms for ending the war in the Middle East.

Global benchmark, Brent crude futures, rose to $105.99 per barrel before falling to to $103.99 per barrel which is an increase of $2.70, or 2.67% to the previous trading day.

US West Texas Intermediate crude climbed to $100.37 per barrel before receding to $97.66 per barrel, which when compared to the previous day’s trading was an increase of $2.24, or 2.35% Trump said: “I have just read the response from Iran’s so-called ‘Representatives.’

I don’t like it — TOTALLY UNACCEPTABLE!” It is feared that repudiation by Trump of Iran’s response to his latest peace proposal could further unleash violence and disruptions to oil supplies through the Strait of Hormuz.

But reacting to Trump’s rejection, Iranian Foreign Ministry spokesman, Esmaeil Baqaei said: “We did not demand any concessions. The only thing we demanded was Iran’s legitimate rights. “Iran wants “an end to the war” and to the US naval blockade, and the “release of assets belonging to the Iranian people, which have for years been unjustly trapped in foreign banks.

Lloyd Chan at Japanese bank MUFG said: “President Trump’s swift rejection of these counterdemands underscores the wide gulf between both sides, pointing to a risk of prolonged uncertainty rather than rapid de-escalation. “For oil markets, this suggests a persistent geopolitical risk premium as Hormuz disruptions drag on