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Tue, 07 Apr 2026

Tue, 07 Apr 2026 Oil price fluctuates ahead of Trump's Iran deal deadline

The US president has threatened to take out Iran "in one night" if it does not agree to open the Strait of Hormuz.
Global oil prices rose sharply ahead of a deadline set by US President Donald Trump, who threatened to take action against Iran if it didn't agree to a deal by Tuesday evening. The price of Brent crude jumped above $111 per barrel before settling at around $107, as investors became increasingly concerned that the conflict could be drawn out and oil supplies disrupted. Speaking from the White House, Trump said he believed some Iranian leaders were negotiating in good faith, but the outcome was still uncertain. Iran has rejected proposals for a temporary ceasefire, demanding a permanent end to hostilities and the lifting of sanctions instead. As tensions escalate, traders are now questioning whether Trump genuinely wants a deal or is simply posturing while preparing for a larger attack. The conflict has already disrupted oil and gas shipments from the Middle East, with some countries making deals with Iran to get their ships through the Strait of Hormuz. However, even if an agreement is reached soon, it may take time for economic benefits to be felt, as facilities damaged in the conflict will need weeks or months to repair. Insurance costs have also risen sharply, while the ongoing issues from the conflict have prompted warnings that global interest rates could rise due to higher inflation.