U.S. President Donald Trump has dismissed Iran's latest counterproposal to end the 10-week-long conflict in the Middle East, calling it 'totally unacceptable.' In response, Tehran has vowed to 'never bow,' signaling a deepening standoff that has already disrupted shipping through the Strait of Hormuz.
The Strait, a critical global energy chokepoint, has seen increased military and commercial activity amid the ongoing conflict.
Analysts warn that any further escalation could disrupt oil and gas shipments, which account for roughly 20% of global maritime trade.
Analysts warn that any further escalation could disrupt oil and gas shipments, which account for roughly 20% of global maritime trade.
The situation follows earlier reports that Iran had submitted a formal response to Trump's peace proposal.
Despite diplomatic efforts, the lack of progress has raised concerns about the potential for renewed military action or economic sanctions.
Markets have already priced in some level of risk, with energy and shipping sectors showing heightened sensitivity to developments in the region.