FX.co ★ Oil Prices Rise More than 5%

WTI crude oil futures jumped more than 5% to nearly $93 per barrel on Monday, following reports that Iran would suspend indirect communications with the United States in response to Israel’s intensifying military operations in Lebanon. According to the semi-official Tasnim news agency, Iran’s negotiating team will halt talks and stop exchanging documents through mediators, accusing Washington of sending mixed messages and deliberately dragging out the negotiation process.

Earlier in the day, Foreign Ministry spokesperson Esmail Baghaei said Iran remained in contact with the US but continued to do so with “distrust.” The move has heightened concerns over the outlook for an interim peace arrangement, especially as US and Iranian forces have reportedly engaged in new clashes near the Strait of Hormuz. Despite the renewed tensions, President Donald Trump stated that talks with Tehran would ultimately “work out well.”