Brent futures climbed 3.1% to $104.43 per barrel and WTI rose 3.1% to $98.33 per barrel in Asian trading.
President Donald Trump called Iran's counter‑proposal “totally unacceptable,” dampening hopes for a near‑term Gulf de‑escalation.
Iran’s demands included sanction lifts, removal of U.S. naval presence in the Strait of Hormuz, and limited nuclear activity rights.
The price surge comes ahead of Trump’s upcoming China visit, where discussions on trade, Taiwan and the Iran conflict are expected.