Oil prices rose in Asian trading on Monday after renewed warnings from US President Donald Trump, who said Iran’s “clock is ticking” as negotiations aimed at ending the ongoing conflict stalled.
Brent crude, the global benchmark, climbed 1.7 percent to $111.13 per barrel, while US West Texas Intermediate rose 2.1 percent to $107.62. Markets reacted to heightened geopolitical risks in the Middle East, where supply routes remain under strain.
Energy markets have remained volatile since Iran effectively restricted access through the Strait of Hormuz following US and Israeli strikes that began on 28 February. The waterway is one of the world’s most critical energy corridors, with around one-fifth of global oil and liquefied natural gas shipments passing through it.
In a post on social media, Trump warned Tehran: “They better get moving, FAST, or there won’t be anything left of them. TIME IS OF THE ESSENCE!” The remarks added pressure on already fragile diplomatic efforts.
Iranian media reported that recent US responses to Tehran’s proposals had failed to offer meaningful concessions. The semi-official Mehr news agency said the lack of progress could push negotiations into an “impasse,” raising the risk of prolonged confrontation.
Trump’s latest comments echoed earlier threats in which he warned that a “whole civilisation” could be at risk if Iran failed to agree to a peace deal. He had previously criticised Tehran’s negotiating position as “totally unacceptable” after a brief ceasefire deal in early April came under strain.
The US president is expected to meet senior national security advisers on Tuesday to review possible military options related to Iran, according to Axios.
Market analysts warned that the ongoing crisis could have prolonged effects on global energy costs. Claudio Galimberti, chief economist at Rystad Energy, described the situation as “very dire,” adding that conditions would worsen if the Strait of Hormuz remains closed.
“We are approaching a summer of pain, I am afraid, unless Hormuz is opened,” he said.
Rising oil prices have already begun feeding into higher fuel costs for airlines and other transport operators ahead of the peak travel season. Irish carrier Ryanair reported strong annual profits but cautioned that geopolitical instability was making future forecasts difficult.
The airline said it had hedged most of its fuel needs but warned that the remaining exposure had become significantly more expensive due to the conflict. It also pointed to uncertainty stemming from both the Middle East situation and the ongoing war in Ukraine.
Meanwhile, tensions in the region have widened beyond Iran. Drone attacks have been reported across neighbouring states, including Israel, Bahrain and the United Arab Emirates.
On Sunday, UAE officials said a drone strike caused a fire near the Barakah nuclear power plant after three drones crossed into its airspace. Two were intercepted, while the third struck an external electrical unit, prompting a brief fire and renewed security concerns across the Gulf region.
