Oil surges 4% after Trump rejects Iran ceasefire response

Crude oil prices jumped 4% on Monday morning after U.S. President Donald Trump rejected Tehran's response to a ceasefire proposal for the Iran-US conflict.

The market reaction reflects heightened geopolitical risk in the Middle East. Oil traders perceive reduced likelihood of diplomatic resolution and increased potential for military escalation, which threatens regional supply routes.

European markets and economies dependent on stable energy prices face renewed pressure from Middle Eastern tensions amid broader macroeconomic uncertainty.