Iran has reportedly suspended ongoing negotiations with the United States, according to multiple media reports.
The development comes amid heightened tensions following an Israeli military operation in the region.
1% in the session, reflecting investor concerns over potential disruptions to oil flows.
The U.S. had previously proposed a framework to de-escalate the conflict, but Iran's decision to halt talks signals a potential shift in diplomatic strategy.
Markets reacted swiftly to the news, with energy prices climbing as traders priced in renewed shipping risks in the Strait of Hormuz.
Brent crude futures rose by 2.1% in the session, reflecting investor concerns over potential disruptions to oil flows.
The region has been a focal point of geopolitical tensions in recent months, with periodic blockades and military posturing affecting global trade.