WTI, Brent after Iran rejects direct U.S. talks
A pump jack is seen in a field in Pecos, Texas, on March 18, 2026.
Brandon Bell | Getty Images
Oil prices rose on Thursday after Iran signaled it has no intention of holding direct talks with the United States, even though a U.S. proposal to end the war is being reviewed by senior officials in Tehran, according to the Islamic Republic’s foreign minister.
International benchmark Brent crude futures increased by 1.21% to $103.46 per barrel, while US West Texas Intermediate futures contracts increased by 1.35% to $91.54 per barrel.
Iranian Foreign Minister Abbas Araghchi told state media on Wednesday that exchanges between the two countries through mediators did not amount to “negotiations with the United States,” Reuters reported.
Iranian state media reported that Tehran would reject the US ceasefire offer and instead put forward its own conditions to end the conflict.’
The latest comments come as Washington and Tehran continue to offer different accounts of the status of negotiations.
Trump said on Tuesday that the United States and Iran were “currently in negotiations” and suggested Tehran was willing to make a deal, although the Islamic Republic has ruled out any direct talks. Speaking in the Oval Office, Trump said he was backing away from earlier threats to strike Iran’s energy infrastructure “based on the fact that we negotiated.”
Analysts at investment bank TD Securities said the latest oil shock was unlikely to trigger an aggressive policy response from the Federal Reserve.
As markets begin to price in the risk of a rate hike due to high inflation expectations, TD said the Fed is more likely to remain in “wait and see” mode, with its leadership still leaning toward rate cuts in late 2026.
The bank stated that “the Fed will recover from the energy shock” as long as long-term inflation expectations remain stable and second-round effects remain under control.
