Oil heads higher as US-Iran peace talks remain in stalemate
USO•Brent crude rose 3.29% to $107.75 a barrel and U.S. West Texas Intermediate gained 2.32% to $94.55 after President Donald Trump rejected Iran’s peace proposal. Middle East crude exports rebounded to 12.8 million barrels per day in September, preliminary data showed.
1. Oil prices rise
Brent crude rose $3.43, or 3.29%, to $107.75 a barrel, while U.S. West Texas Intermediate gained $2.14, or 2.32%, to $94.55. The gains followed Trump’s rejection of Iran’s peace proposal, though he said he expected U.S. negotiators to hold more talks this week.
2. Exports rebound
Crude exports from key Middle East producers rose to 12.8 million barrels per day in September, the highest since the war began in February, preliminary Kpler data showed. Shipments through the Strait of Hormuz were set to reach about 7.4 million barrels per day this month as Saudi Arabia and the United Arab Emirates boosted exports.
3. Analyst view
Sugandha Sachdeva said rejection of the proposal reduced hopes for an immediate breakthrough, while diplomatic efforts continued. She said $120 a barrel remained a key resistance level for Brent and that a pullback remained possible if shipping improved or talks progressed.
