Brent Crude (BZ=F) Jumps 6.5% to Over $97 as Iran Halts US Talks, WTI (CL=F) Gains 7.5%

Oil prices surged on Monday after Iran reportedly halted message exchanges with the United States, casting doubt on negotiations President Trump had described as close. Brent crude futures (BZ=F) climbed 6.5% to trade above $97 per barrel, while US benchmark West Texas Intermediate (CL=F) gained 7.5% to near $94. The breakdown, reported by Iran’s state-controlled Tasnim news agency, attributed the decision to Israel’s military campaign against Hezbollah in Lebanon. An Iranian Foreign Ministry spokesman said engagement continues “with distrust.” The move undercut Trump’s earlier assertion that Iran “wants to make a deal.” Overnight, the US military struck radar and drone sites in Iran after the regime downed a US drone, escalating tensions. Fighting in Lebanon also intensified. The Strait of Hormuz closure has stranded over 1 billion barrels of oil, driving US gasoline to $4.32 per gallon. Markets had slipped last week on hopes of a deal reopening the strait, but prospects remain uncertain.