Oil Prices Surge After Trump's Rejection of Iran Terms

Oil prices surged as Donald Trump, the President of the United States, rejected Iran's conditions for ending the conflict in the Middle East, leading to heightened fears of prolonged tensions that could disrupt global oil supply. Brent North Sea crude oil rose by 4.75% to $99.95 per barrel, while West Texas Intermediate increased by 4.16% to $105.50 per barrel.

Trump's dismissal of Iran's latest peace proposal has intensified concerns that the crisis will continue rather than move towards de-escalation. Iranian President Masoud Pezeshkian stated that Tehran would not accept the arrangement, which appears to weaken Iran's position.

Analysts, including Lloyd Chan from MUFG, noted that the situation remains unstable, particularly regarding the Strait of Hormuz, a critical route for global crude oil transport. As of May 11, 2026, Asian stock markets reacted variably, with Japan's Nikkei 225 falling by 0.36% and the Shanghai Composite Index rising by 0.89%.