Global oil prices advanced on Monday after US President Donald Trump rejected Iran’s conditions for ending the ongoing Middle East conflict, while stock markets posted mixed performances.
Trump’s dismissal of Tehran’s response to Washington’s latest peace proposal heightened concerns over continued tensions and possible disruptions to crude oil shipments through the Strait of Hormuz.
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“I have just read the response from Iran’s so-called representatives. I don’t like it — totally unacceptable,” Trump stated ahead of his scheduled visit to China this week, where the conflict is expected to feature prominently in discussions.
Responding on Monday, Iranian Foreign Ministry spokesman Esmaeil Baqaei said Tehran was not seeking concessions but insisting on what it described as its lawful rights.
According to Baqaei, Iran’s demands include an end to the regional conflict, the removal of the US naval blockade, and the release of Iranian assets frozen in foreign banks for several years.
Analysts say the sharp differences between both sides suggest that tensions may persist for longer than expected.
Lloyd Chan of Japanese banking group MUFG said Trump’s swift rejection of Iran’s counter-demands highlighted the deep divide between Washington and Tehran, increasing the possibility of prolonged uncertainty rather than an immediate easing of hostilities.
He noted that the situation would likely sustain geopolitical pressure on oil markets, especially as concerns over disruptions in the Strait of Hormuz continue.
Although oil prices later eased from earlier gains, Asian stock markets recorded mixed results.
Tokyo closed lower by about 0.5 per cent, Hong Kong remained largely unchanged, while Seoul surged 4.3 per cent, supported mainly by gains in technology stocks.
In Japan, shares of Nintendo dropped nearly 10 per cent after the gaming company warned on Friday of lower profit expectations for the year and announced plans to increase the price of its Switch 2 console.
European markets also opened on a mixed note, with Frankfurt and Paris trading lower, while London recorded slight early gains.
Meanwhile, US Treasury Secretary Scott Bessent was expected to visit Japan and South Korea before proceeding to China for Trump’s anticipated summit with Chinese President Xi Jinping.
China’s Foreign Ministry said on Monday that Beijing was prepared to cooperate with the United States based on equality, mutual respect, and shared benefit, while also seeking to manage differences and promote stability in an increasingly volatile global environment.
(AFP)
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