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Oil prices surge as US-Iran talks stall

Photo: Pixabay

Oil prices jumped more than two percent on Monday, primarily due to a stalemate in attempts to resume peace talks between the United States and Iran.

This kept the Strait of Hormuz almost closed, prolonging supply disruptions that have rocked global markets, Nezavisne novine reports.

The price of Brent oil was at the level of 107.5 USD per barrel, and the US crude oil WTI (West Texas Intermediate) at around 96.5 USD per barrel.

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Reports indicate that Tehran has proposed reopening the strait through talks with the US, although tensions remain high.

Over the weekend, US President Donald Trump cancelled a planned visit by key envoys to Pakistan, which is mediating the talks, while Iran insisted it would not participate under pressure.

A ceasefire has largely been in place since early April, but mutual blockades of shipping have reduced traffic through the strait to almost zero.

Trump announced that he would meet with his national security team to resolve the impasse.

The conflict, now in its ninth week, has raised energy prices and caused shortages in key markets, with the International Energy Agency warning of an unprecedented supply shock and growing risks of a demand slowdown.

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