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Oil prices climbed in early Asian trading on Tuesday after Iran's parliament speaker flatly denied that any negotiations with the United States had occurred since the start of the war — directly contradicting statements made by President Donald Trump and throwing energy markets back into uncertainty.
West Texas Intermediate crude futures gained 1.1%, rising to $89.10 per barrel at around 19:04 ET. The rebound followed a sharp decline of more than 10% on Monday, when Trump announced he was delaying a threatened strike on Iran's electricity infrastructure by five days, pointing to what he described as productive discussions with unnamed Iranian officials.
Iran's Speaker of the Parliament, Mohammad Baqer Qalibaf, pushed back on those claims via social media, stating that no such talks had taken place. The contradiction left global oil markets unsettled, with traders closely watching for any developments that could affect crude supply from the volatile region.
According to Reuters, while direct diplomatic contact between Washington and Tehran had not occurred, intermediary nations including Egypt, Pakistan, and several Gulf states were actively relaying communications between the two sides. Iran's foreign ministry was also reported to be exploring de-escalation measures, offering a thin layer of cautious optimism to markets.
Despite these signals, active hostilities showed little sign of easing as the conflict stretched into its fourth consecutive week. Crude prices had previously surged to nearly $120 per barrel after Iran effectively shut down the Strait of Hormuz — a strategically critical waterway responsible for approximately one-fifth of global oil supply — triggering widespread concern over long-term energy availability.
With diplomatic channels remaining indirect and military tensions unresolved, oil prices are expected to stay highly sensitive to any new developments in the Iran-U.S. conflict and their ripple effects on Middle East energy infrastructure.
