Oil markets were steady in Asian trading on Tuesday after a near 3% jump in the previous session, with market participants parsing comments from U.S. President Donald Trump that cast doubt on the health of the latest truce with Iran.
As of 20:15 ET (00:15 GMT), Brent Oil Futures edged up 0.3% to $104.52 a barrel, while Crude Oil WTI Futures also gained 0.3% to $98.33 a barrel.
Market sentiment remains focused on the risk that the 10-week-old conflict could tighten world supply. The shift in mood followed Trump's rejection of Tehran's reply to a U.S.-backed peace proposal, which he called "totally unacceptable." He went further, describing Tehran's response as "a piece of garbage," and said the truce was now at its weakest point.
Iran, in turn, defended its position on Monday, saying its demands were legitimate and concentrated on ending the war, lifting the U.S. naval blockade, and restoring Iranian oil exports. Tehran has also sought compensation for war damage, removal of sanctions, and recognition of its sovereignty over Hormuz.
Those positions have revived worries about shipping through the Strait of Hormuz, a key maritime chokepoint through which roughly one-fifth of global oil and fuel supply passes. Concern about the strait's future status contributed to oil's recovery after prices had fallen sharply last week on hopes that Washington and Tehran were moving toward a diplomatic breakthrough; those hopes faded after the president's latest remarks.
Industry voices have underscored how prolonged disruption could affect flows. Saudi Aramco Chief Executive Amin Nasser warned this week that even if the strait reopened immediately, it could take months for global oil flows to normalise.
Investors are also watching a scheduled meeting between President Trump and Chinese President Xi Jinping later this week in Beijing, which could include discussions on the Iran conflict, trade and energy security. Market participants expect developments around those talks, and comments from principal actors, to continue driving sentiment in oil markets.
For now, Brent and WTI maintain modest gains as the market balances recent volatility with ongoing uncertainty over the ceasefire's durability and the operational outlook for one of the world's most important shipping corridors.