US crude rises as Tehran weighs Washington's 15-point plan
WTI moved higher in early Thursday trading after Wednesday's 2.2% drop, as traders watched Tehran's next move and disruption to Gulf energy routes.
- US West Texas Intermediate crude oil prices rose by over 1% to around $91.25 a barrel, rebounding from a previous decline.
- The price increase is linked to potential easing of Middle East tensions as Iran continues to review a 15-point U.S. proposal aimed at ending the Gulf war.
- An Iranian official confirmed that Tehran has not dismissed the offer and is still weighing the proposal, which was delivered on Washington's behalf by Pakistan.
Oil prices in the United States moved higher in early Thursday (March 26) trading, rebounding from the previous day’s decline as markets watched for signs of easing tensions in the Middle East, while Iran continued to examine a US proposal aimed at ending the Gulf war, which has disrupted energy flows from the region.
US West Texas Intermediate crude rose by more than $1 at the open to $91.42 a barrel.
By 2225 GMT, the contract was trading 93 cents, or 1%, higher at $91.25 a barrel, after falling 2.2% on Wednesday.
A senior Iranian official told Reuters on Wednesday that Tehran was still reviewing the US proposal despite initially reacting negatively, suggesting that Iran had not completely dismissed the offer.
Washington, however, kept up the pressure. White House press secretary Karoline Leavitt said President Donald Trump would intensify action against Iran if Tehran refused to accept that it had been “defeated militarily”.
Although Iranian officials have publicly derided the idea of negotiating with the Trump administration, the delay in sending a formal reply to Pakistan, which conveyed a 15-point plan on behalf of Washington, appeared to indicate that some within Tehran were still weighing the proposal.
Reuters
